U.S. stocks have recovered the losses sustained a month ago following the global tariffs announced by President Donald Trump, marking the longest stretch of consecutive gains in over twenty years for American equities.
On Friday, Wall Street posted its ninth straight day of gains, a feat last achieved in 2004. The rally was supported by an unexpectedly strong employment report and renewed investor confidence amid indications that trade discussions between the U.S. and China might resume.
All major U.S. indices closed the day higher: the S&P 500 and Nasdaq each climbed 1.5%, while the Dow Jones Industrial Average rose by 1.4%.
Technology shares led the upward movement, with Microsoft and Nvidia each gaining more than 2% during the session. The rise coincided with a report from the U.S. Department of Labor, which stated that employers added 177,000 jobs in April.
Although the figure was stronger than many forecasts, it still reflected a deceleration from the hiring pace of the previous month. The national unemployment rate remained unchanged at 4.2%.
Investor sentiment was further buoyed by an announcement from Beijing indicating that China is evaluating a U.S. proposal to restart trade negotiations between the two countries.
Currently, China is subject to the highest level of U.S. import tariffs, standing at 145%, far surpassing other nations.
According to some analysts, the robust employment figures helped ease concerns of an impending recession, especially after this week’s data from the Commerce Department revealed the first quarterly contraction in the U.S. economy in three years.
“There is nothing to criticize in this report,” noted Carl Weinberg, chief economist at High Frequency Economics, in a client briefing.
“These figures offer no signs pointing toward the onset of a recession,” he added.
Seema Shah, Principal Asset Management’s chief global strategist, also expressed cautious optimism in light of the data.
“While the economy may slow in the coming months, the current momentum suggests the U.S. could potentially avoid a recession—provided it manages to de-escalate trade tensions in time,” Shah stated.
However, others urged a more measured interpretation, noting that the economic effects of recent tariffs may not be fully visible yet.
Despite the strong April jobs report, “the outlook continues to be highly uncertain,” said Olu Sonola, who leads U.S. economic research at Fitch Ratings.
