Futures tied to the S&P 500 (^GSPC) rose 0.8%, while futures in the Dow Jones Industrial Average (^DJI) added nearly 200 points, or 0.6%. Contracts for the tech Nasdaq Composite ( ^IXIC ) rose 0.8%. The US economy added 261,000 jobs in October, while the September count was revised upward to 315,000 from a previously reported 263,000, the Labor Department said on Friday. Economists had expected payrolls to rise 195,000 last month, according to consensus estimates compiled by Bloomberg. Investors have been betting that signs of a tepid labor market would force the Federal Reserve to scale back its aggressive rate hike campaign, but Chairman Jerome Powell argued on Wednesday that the slight softening in the data was not enough to halt hikes, with working conditions. still historically tight. “Although job vacancies have moved below their highs and job growth has slowed since earlier in the year, the labor market remains out of balance, with demand significantly outstripping the supply of available workers,” he said. Powell on Wednesday after The US central bank made a fourth consecutive increase in interest rates by 75 basis points. In the third quarter of this year, payroll earnings averaged 372,000 per month. Weekly jobless claims, the most timely picture of the US labor market, are also at solid lows, with this week’s reading at 217,000. “Initial claims are not increasing one bit,” DataTrek’s Nicholas Colas said in a note. “Simply put, there is still no sign that either the Fed’s aggressive monetary policy or the tightening economic conditions it has brought about are yet to hit US labor markets.” Central banks around the world have moved in tandem with the US Federal Reserve to embark on a combative course of monetary tightening, raising concerns about the impact of synchronized rate hikes. The Bank of England raised interest rates by 75 basis points on Thursday, while European Central Bank President Christine Lagarde said in recent statements that interest rates may need to rise to restrictive levels to bring inflation back to the 2% target. The story continues While monetary policy has grabbed investors’ attention this week, corporate earnings have continued to rush in. Shares of Block ( SQ ) rose 13% in premarket trading after the company significantly beat estimates on strong performance in its Cash App and Square payments offerings. Meanwhile, payments company PayPal ( PYPL ) saw its shares fall 7% in extended hours after the company cut its revenue forecast to 8.5% from its previous outlook of 18%, even as it beat earnings results . Meanwhile, shares of Alibaba ( BABA ) rose 10% alongside a rally in Chinese stocks amid speculation that the country will end its strict zero-Covid-19 policy. — Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc Click here for the latest Yahoo Finance platform stock trends Click here for the latest stock market news and in-depth analysis, including the events that move stocks Read the latest financial and business news from Yahoo Finance Download the Yahoo Finance app for Apple or Android Follow Yahoo Finance on Twitter, Facebook, Instagram, Flipboard, LinkedIn and YouTube
