Topline<\/p>\n
Major tech stocks rallied Friday amid a weak jobs report that revealed an unexpected drop in payrolls for July, with SpaceX, Palantir and Cloudflare shares all rising at least 8% in the early hours of trading.<\/p>\n
SpaceX shares are down 16% since debuting in June.<\/p>\n
Photo by Justin Sullivan\/Getty ImagesKey Facts<\/p>\n
SpaceX shares jumped 12% shortly before 11:45 a.m. EDT, rallying from an all-time low recorded Wednesday.<\/p>\n
Palantir rose 8.9% to around $169 per share and capped off a strong week of gains, with the stock rising 35% in the last five days of trading.<\/p>\n
Cloudflare\u2019s stock surged 8% to around the $307 mark, rising a day after the company soared beyond revenue expectations ($696.1 million).<\/p>\n
Friday\u2019s jobs report revealed nonfarm payrolls fell 23,000, well below Dow Jones expectations of a gain of 83,000.<\/p>\n
The labor force participation rate, which is the percentage of working-age Americans who are either working or actively looking for work, ticked down to 61.4%\u2014its lowest mark in over five years.<\/p>\n
What Other Tech Stocks Were Boosted Friday?<\/p>\n
Microchip Technology, an American semiconductor company, surged 12.9% to a two-week high. Reddit shares joined in on Friday\u2019s rally, rising 8.1% before noon, though the forum platform\u2019s stock remains down 30% since January. Uber spiked 6% to just under $75 per share. The ride-hailing company is down 9.3% year-to-date. <\/p>\n
What Else Did The Jobs Report Show?<\/p>\n
The unemployment rate fell to 4.1% from 4.2% in June. Average hourly earnings edged up two cents, dropping the 12-month average to 3.2%\u2014a five year low. Government education and retail jobs spearheaded the drop in jobs, with the former sector declining by 50,000. Healthcare jobs increased by 22,000, well below its 12-month average of 36,000. <\/p>\n
Key Background<\/p>\n
Tech stocks have outpaced the 13.3% gains made by the S&P 500 this year, with the sector rising nearly 24% since January. That surge has been led by juggernauts like Micron (+205% YTD), Intel (+175% YTD), Nvidia (+20% YTD) and Apple (+14.8% YTD). However, the rally has not extended to major companies including Tesla and Meta, which are down 26% and 9%, respectively, since the start of the year. Several tech stocks have been boosted by the artificial intelligence boom, which has allowed companies to cash in on infrastructure and cloud computing demand.<\/p>\n","protected":false},"excerpt":{"rendered":"Topline Major tech stocks rallied Friday amid a weak jobs report that revealed an unexpected drop in payrolls…\n","protected":false},"author":2,"featured_media":577772,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[114,8022,184,85,46,1659,5257,17581,4939,4688,5615,2958],"class_list":["post-577771","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-cloudflare","tag-economy","tag-il","tag-israel","tag-job","tag-market","tag-palantir","tag-report","tag-spacex","tag-stock","tag-unemployment"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/577771","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=577771"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/577771\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/577772"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=577771"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=577771"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=577771"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}