US Market closes at new highs

The US stocks climbed to records on Friday, 04 December 2020, with the S&P 500, Dow Jones Industrial Average, technology-heavy Nasdaq Composite closed at new highs, as a drumbeat of promising reports on the effectiveness of Covid-19 vaccines hopes for another financial aid package from Congress to combat the economic impact of the coronavirus pandemic helped to shrug off the disappointing jobs data.

At the close of trade, the Dow Jones Industrial Average index advanced 248.74 points, or 0.83%, to 30,218.26. The S&P 500 index added 32.40 points, or 0.88%, to 3,699.12. The tech-heavy Nasdaq Composite Index grew 87.05 points, or 0.7%, to 12,464.23. For the week, the Nasdaq spiked by 2.1%, the S&P 500 surged up by 1.7% and the Dow shot up by 1%.

The Labor Department said non-farm payroll employment rose by 245,000 jobs in November after jumping by a downwardly revised 610,000 jobs in October. Despite the weaker than expected job growth, the unemployment rate dipped to 6.7% in November from 6.9% in October.

Traders hoping that the weaker than expected job growth will spur lawmakers in Washington to finally pass a new fiscal stimulus bill. House Speaker Nancy Pelosi said Friday that talks on a COVID-19 relief package have momentum, and that the weaker-than-expected November jobs report gives more reason for Congress to act. Senate Majority Leader Mitch McConnell, R-Ky., said Thursday that reaching a compromise on another coronavirus fiscal stimulus package was possible, as long as Democrats moved toward Republican positions. The remarks came after congressional Democratic leaders said Wednesday they were endorsing a bipartisan proposal estimated to cost about $908 billion, well above what McConnell has supported but well below the more than $2 trillion effort Democrats had pushed in talks ahead of the election.

In other economic reports, U.S. factory goods orders rose for the sixth straight month in October, the Commerce Department said Friday. Orders for manufactured goods rose 1% after a 1.3% gain in the prior month.

Among Indian ADR, HDFC Bank declined 2.44% to $68.03, WNS Holdings shed 1.68% to $68.54, ICICI Bank declined 0.83% to $13.16, Azure Power Global fell 3.3% to $34.32. Wipro sank 1.86% to $5.27, and INFOSYS dropped 1.1% to $15.24, while Dr Reddys Labs added 0.58% to $65.87, Tata Motors added 0.16% to $12.66, and Vedanta rose 1.91% to $6.95.

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