Investors continue to pile into stocks, undeterred by a government shutdown or shaky jobs data, with all three benchmarks hitting record highs Thursday.
With the Senate not meeting yesterday because of Yom Kippur, the U.S. government stayed shut for a second day. Treasury Secretary Scott Bessent told CNBC on Thursday that economic growth could take “a hit” because of the shutdown. Investors seem to have dismissed those concerns.
The jobs market already seems quite battered, at least in terms of new hirings.
Year-to-date hiring is down 58% from the same period a year ago, to hit its lowest level since 2009, based on data from outplacement firm Challenger, Gray & Christmas.
But the jobless level has stayed at 4.34%, according to a relatively new set of data indicators compiled by the Chicago Federal Reserve. This echoes Fed Chair Jerome Powell’s description of the economy as one that is “low fire, low hire.”
Granted, those numbers are not from the Labor Department. We’re patching together a picture from different sources. That’s like trying to recreate New York food truck Halal Guys’ famous white sauce but ending up with an ordinary mayonnaise — but it is still a spread that adds some value in the absence of the real thing.
Markets are taking all that in their stride as they scale new peaks. Joining the party was the world’s most valuable company, Nvidia , which hit an all-time. Intel , though it is still far from its high in 2021, also rose to deliver 50% gains to investors over the last month amid a series of successful tie-ups.
Tom Lee, head of research at Fundstrat, predicts that the S&P 500 could reach 7,000 by year-end. With markets looking unperturbed, that might turn out true sooner if nothing serious comes in the way of the bulls.
Tesla’s third-quarter deliveries rise. The Elon Musk-led company delivered 497,099 vehicles in that period, up 7% from a year ago. Meanwhile, BYD delivered 393,060 units in September alone — but that was still a 6% year-on-year fall and its first decline in 2025.
Defense startups from Silicon Valley challenge incumbents. A group of “neoprime” companies, such as Anduril Industries and Palantir Technologies , is drawing billions in funding and changing the defense landscape in America.
Electronic Arts’ deal looks great for investors. Gamers however, might not be as enthused about the development. After being taken private, EA will see $20 billion in debt, which might cause it to double down on lucrative — but gamer-unfriendly — business models.
Record highs for U.S. stocks. The three major U.S. indexes rose Thursday to close at fresh all-time highs. Asia-Pacific markets were mixed Friday. Shares of Japanese conglomerate Hitachi spiked over 9% after it announced a partnership with OpenAI.
[PRO] The factor determining which pharma company will prevail. U.S. President Donald Trump’s 100% tariffs on branded and patented drugs will undoubtedly hit pharma firms — but some could turn out to be winners in this scenario.
