US Stock Market Rebounds on Positive Jobs Data and Easing Trump-Musk Tensions

On June 6, 2025, the US stock market experienced a significant turnaround from the previous day's declines. Here’s a brief update:The S&P 500, which had slid by 0.5 percent or 31.51 points to 5,939.30 points on Thursday, rebounded strongly. By midday Friday, the S&P 500 was up more than 1 percent, driven by positive jobs data and signs of easing tensions between President Trump and Elon Musk.The Dow Jones Industrial Average, which had declined by 0.3 percent or 108 points to 42,319.74 points on Thursday, also surged by more than 1 percent on Friday. Similarly, the Nasdaq, which lost 0.8 percent or 162.04 points to finish at 19,298.45 points on Thursday, was up by more than 1 percent on Friday.Key factors driving today's market direction include the U.S. job growth data, which showed the economy added 139,000 jobs in May, slightly above economists’ expectations, and the unemployment rate remaining steady at 4.2 percent. This data alleviated some concerns about economic growth and suggested that the Federal Reserve might hold interest rates steady for now.Notable sector performance saw technology stocks broadly outperforming, led by chipmakers and large-cap tech names, following the rebound in Tesla shares by more than 5 percent after Musk and Trump indicated a willingness to de-escalate their public feud.The most actively traded stocks included Tesla, which saw a significant surge after the easing of the Trump-Musk feud. The biggest percentage gainers were largely in the technology sector, while the previous day's decliners, such as consumer discretionary and consumer staple stocks, saw some recovery.Significant market-moving news events included the jobs report and the easing of tensions between Trump and Musk. The steady jobless rate and moderate payroll gains are likely to keep the Federal Reserve on hold for now, with no rate changes expected until possibly September.Looking forward, pre-market futures indicated a positive start to the day, which was realized as the market opened. Key events to watch for tomorrow include any further developments in the Trump-Musk situation and ongoing debates in Congress over tax and spending legislation. Important upcoming earnings releases and potential market catalysts will continue to be monitored closely, especially given the ongoing tariff uncertainty and policy unpredictability.This content was created in partnership and with the help of Artificial Intelligence AI