U.S. stocks slumped for the week and the dollar gained after a plunge in hiring last month hinted at the extent of the pandemic’s toll on the world’s largest economy. Oil rallied on expected output curbs.
The S&P 500 fell for the third time in four days as investors digested the abysmal jobs report that captured data in the period largely before government-mandated shutdowns went into widespread effect. As with record claims for unemployment, the latest numbers bear little information on the current state of the economy, making it difficult for investors to value financial assets.
“No one has ever experienced anything like this,” Bruce Bittles, chief investment strategist at Baird, said by phone. “We’re getting the shock numbers out and the markets tend to front-run bad news. In other words, a lot of the bad news is already built into the market.”
The S&P 500 fell 2.1 per cent