Shares of retailers and other consumer companies rose after surprisingly strong May jobs data.
The U.S. jobless rate fell to 13.3% and employers added 2.5 million jobs in May, early signs the labor market is mending as the economy started to reopen following lockdowns related to the coronavirus pandemic, a turnaround in the labor market that took economists entirely by surprise.
"The actual number came in 10 million higher than what the economists were expecting," explained LPL senior market strategist Ryan Detrick, in a note to clients.
"This is a major step in the right direction...the economy could be back online much sooner than most expect."
With infections spreading in many parts of the U.S. and the world, the threat to public health and economic growth has not disappeared, however. Some economists questioned the accuracy of the May survey.
Sales of newly built homes surged in May, a new survey shows, the latest sign that the housing market is already recovering from a sharp drop in home sales due to the pandemic.
New home sales rose 21% in May from a year earlier, according to a survey of more than 300 U.S. builders conducted by John Burns Real Estate Consulting, as reported earlier.
The British unit of Victoria's Secret owner L Brands filed for protection from creditors Friday as it grapples with disruption wreaked by the coronavirus pandemic, in a move that could result in the sale of the business.
Shares of some airlines moderated gains as Wall Street analysts said aggressive plans to bring flights back online could result in overcapacity.
Write to Rob Curran at rob.curran@dowjones.com
