Investors received good news on Tuesday as markets rallied after several days in the red. According to a report from The Street, investment banks like Goldman Sachs and Morgan Stanley led the rise after both firms posted earnings which were higher than predicted.
In total, the Dow Jones Industrial Average rose by almost two percent, and the NASDAQ by nearly three. The S&P 500 rose by over two percent as well. According to Market Watch, these are the most significant gains any of the markets have seen since March of this year.
Many experts believe the boost was powered by the latest US Job Openings and Labor Turnover Survey (JOLTS) report. According to an article published by the Financial Times, there is now a high number of open positions — 7.136 million — which vastly surpassed the projected number of six million and is equivalent to the record-breaking number seen earlier this year.
“This reading extends a remarkable run, which has taken the rate of increase of job openings from just 3.3% at the end of last year to 18.0% in August, with no real sign of a peak in sight,” said Pantheon Macroeconomics economist Ian Shepherdson, while speaking to the Financial Times. “That’s consistent with other private sector surveys, most of which point to labour demand rising much faster than any plausible estimate of supply.”