Stock markets carry on amid absent U.S. jobs data, leaving Fed without its ‘compass’

The TSX is shown on a business news ticker is seen in the Financial District in Toronto, Monday, March 9, 2020. THE CANADIAN PRESS/Cole Burston

TORONTO — Canada’s main stock index was up more than 300 points in a broad-based rally, while U.S. stock markets were mixed on Friday as investors carried on without U.S. jobs data. 

“I think the market resilience that we have seen over the past several months continues in the face of the standstill in Washington. That has generated a lot of headlines. But at the same time, investors have really experienced plenty of these in the past,” said Angelo Kourkafas, senior investment strategist at Edward Jones. 

Usually, the first Friday of each month has Wall Street transfixed on the monthly jobs update that the U.S. government publishes. It shows how many jobs employers created and destroyed, while also updating the unemployment rate.

• Real-time TSX market updates here

Such data is particularly important now, given how much on Wall Street is riding on the expectation that the job market is continuing to slow by enough to get the U.S. Federal Reserve to keep cutting interest rates. But the shutdown of the U.S. government, now in its third day, delayed the release.

“We don’t have these important data releases, such as the jobs report and inflation; (they) are suspended, which leaves the market and the Fed without their usual compass,” Kourkafas said. 

He added that as the U.S. labour market appears to be cooling, data from ADP Research will become more important. Survey figures from ADP released Wednesday showed that U.S. employers outside the government actually cut 32,000 more jobs than they added.

In New York, the Dow Jones industrial average was up 238.56 points at 46,758.28. The S&P 500 index was up 0.44 points at 6,715.79, while the Nasdaq composite was down 63.54 points at 22,780.51. Both the Dow Jones industrial average and the S&P 500 added to their all-time highs set the day before.

• S&P 500 market updates here

The S&P/TSX composite index was up 311.09 points at 30,471.68, adding to its all time highs. 

Meanwhile, Kourkafas said the TSX continued to see strong gains alongside a positive performance in the tech sector amid a rise in valuations and earnings expectations. 

“Going forward, maybe it’s going to have to be more of an earnings-driven market,” he said. 

He noted Shopify Inc. had a strong performance, gaining 6.46 per cent on the day while adding the most points to the overall index. 

OpenAI, the U.S.-based owner of ChatGPT, announced Monday new deals it struck that will allow American shoppers using the chatbot to more easily make purchases from Shopify and Etsy merchants.

Separately, Prime Minister Mark Carney is set to meet with U.S. President Donald Trump in Washington on Tuesday as trade negotiations continue and Ottawa looks for an off-ramp from tariffs hammering the Canadian steel, aluminum and automobile industries.

“Given all the volatility of the headlines, I believe the bar is low in terms of the market assigning much hope that we’re going to see a big improvement in the trade relationship. But nonetheless, it is encouraging that the talks are ongoing,” Kourkafas said.

The Canadian dollar traded for 71.67 cents US compared with 71.62 cents US on Thursday.

The November crude oil contract was up 40 cents US at US$60.88 per barrel. The December gold contract was up US$40.80 at US$3,908.90 an ounce. 

This report by The Canadian Press was first published Oct. 3, 2025.

Daniel Johnson, The Canadian Press. With files from The Associated Press.