Yesterday brought some fresh buying as well after initial claims soared to more than 6 million as 10 million Americans lost their jobs in two weeks. Apparently, this is bullish news for equity investors. Okay.
While today's payrolls report was expected to be not quite as terrible as the recent initial claims suggested, especially since the March survey week took place around March 13 or ahead of the big shutdown and layoff announcements, it ended up being catastrophic nonetheless.
The BLS reported that a whopping 701,000 jobs were lost in March, 7x more than the 100,000 expected, and just shy of the worst payrolls prints recorded during the financial crisis.
In March, the unemployment rate increased by 0.9 percentage points to 4.4 percent. This is the largest over-the-month increase in the rate since January 1975.
As previously said, equities surged after these miserable numbers, while the US dollar remained stronger as well.