Stock market today: Live updates

U.S. stocks rose on Thursday, with the S&P 500 and Nasdaq Composite hitting fresh record highs, after a better-than-expected jobs report fueled optimism the U.S. economy was hanging tough despite fast-changing trade policy and geopolitics.

The S&P 500 traded 0.5% higher, while the Nasdaq gained 0.6%. The Dow Jones Industrial Average advanced 222 points, or 0.5%.

Nonfarm payrolls rose by 147,000 in June, the Bureau of Labor Statistics reported Thursday. That’s above the Dow Jones forecast from economists for 110,000 and the upwardly revised 144,000 in May. The unemployment rate also fell to 4.1%, while economists had projected an increase to 4.3%.

Market gains were contained as the strong jobs report also spurred a big spike in Treasury yields and reduced expectations for the Federal Reserve to cut interest rates soon. Fed funds futures traders are currently pricing in a roughly 93% chance that the central bank will hold rates steady at its meeting later this month, per CME Group’s FedWatch tool.

“Once again, the labor market defies expectations, showing not just resilience but real strength. It may be time to stop calling it surprising and start calling it solid,” said Karen Manna, investment director and portfolio manager at Federated Hermes. “Markets may begin to reprice in response to this momentum. With a series of near-term events on the calendar likely to narrow the range of possible outcomes, the fog of uncertainty is beginning to lift.”

Thursday’s report comes a day after ADP released data showing that private payrolls decreased by 33,000 last month, raising fears that perhaps the economy was starting to stumble under the weight of rapid policy changes out of Washington. Thursday’s official government data knocked down that notion.

Investors are also following along the progress on Trump’s tax megabill, which finally passed the Senate Tuesday and has since returned to the House. The bill is now headed for a final vote after the Republican-controlled House advanced the legislation Thursday.

Thursday will be a shortened trading session, with the New York Stock Exchange and the Nasdaq closing at 1 p.m. ET. U.S. markets are closed on Friday for Independence Day.

All three major U.S. averages are on pace to close out the week in positive territory. The S&P 500 and Nasdaq Composite are 1.3% and 1.1% higher week to date, respectively, while the Dow is at a 1.9% gain for the period.