Market Volatility Falls Sharply Following Jobs Report; S&P 500 Records Weekly Gain

The S&P 500 settled rose sharply on Friday following May’s jobs report, with the index also adding 1.82% for the week.

The U.S. economy added 339,000 jobs in May, significantly higher than market estimates of 190,000. The unemployment rate, meanwhile, increased to 3.7% in May.

Investors also cheered an agreement between President Joe Biden and House Speaker Kevin McCarthy on a deal to temporarily suspend the U.S. borrowing limit until 2025.

Broadcom Inc. AVGO shares gained 2.8% on Friday after the company reported better-than-expected second-quarter financial results and issued third-quarter revenue guidance above estimates.

All the major sectors on the S&P 500 closed on a positive note, with materials, industrials and energy stocks recording the biggest gains on Friday.

The Nasdaq 100 surged 0.73% to close at 14,546.64 on Friday, amid gains in shares of Amazon.com, Inc. AMZN and Tesla Inc TSLA.

The S&P 500 climbed 1.45%, while the Dow Jones rose 2.12% to 33,762.76 in the previous session.

The Chicago Board Options Exchange's CBOE Volatility Index (VIX) dipped 6.7% to close at 14.60 on Friday.

What is CBOE Volatility Index?

The CBOE Volatility Index, popularly known as VIX, is a measure of the equity market's expectation of volatility based on S&P 500 index call and put options.

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