US stocks are growing fast - so does the unemployment
US stocks have experienced the biggest weekly growth in the last 45 years. At the same time the unemployment rates in the country.
Over 6.6 million workers have filed for unemployment. In three weeks the number of jobless claimsin the US has gone up to 16 million. The unemployment rate has surpassed 10%. According to some analysts, these might not even be the final numbers, as not all impacted by the pandemic have been able to reach the state system.
Meanwhile major stocks have continued to grow this week, showing the best results in four decades. Dow DIJA is up by 12.67%, The S&P 500 SPX has gained 12.1%. Nasdaq has gone up 10.59%. Investors are encouraged by the recent news of falling number of new infection cases and successful OPEC+ negotiations. The latest Federal Reserve actions aimed at helping the impacted companies have strongly enhanced the market optimism.
Certain experts believe, that investors do not fully grasp the pandemic’s impact and it is to early to be optimistic. Chief economist at FNH Financial Chris low claims, that Reserve’s actions are easier to understand, than the full effects of the coronavirus - this drives the stocks up.