In March, US Payrolls Increased by The Most in Nearly a Year – US Market Wrap

The stock market ended the week on a high note after a strong jobs report signalled that the US economy will continue to power Corporate America, even if it means higher interest rates.

The S&P 500 increased by more than 1% as stocks rallied widely. On Friday, Wall Street decided to see the glass half full, assuming that if the economy remains strong, there is no real need for the Federal Reserve to begin easing policy.

That resulted in another hawkish reprice in the bond market. Treasury yields rose, with traders lowering their projections for cuts in 2024 to around 65 basis points, or less than the Fed forecast last month.

US payrolls increased by 303,000 in March, exceeding all expectations. The unemployment rate fell to 3.8%, wages rose at a steady pace, and workforce participation increased, highlighting the strength of the labour market that is driving the economy.