S&P 500 Gains and Losses Today: Meta Soars as Investors Hit 'Like' on AI Progress
What caused the S&P 500 to rise 0.5% on June 5, 2024?
The S&P 500 rose 0.5% on June 5, 2024, due to a cooling labor market indicated by the latest jobs report, which showed a slowdown in hiring and an increase in the unemployment rate. This boosted expectations for interest rate cuts, leading to gains in major U.S. equities indexes.
Why did Meta Platform shares soar recently?
Meta Platform shares soared recently due to signals that the Facebook parent's AI investments could be starting to pay off. Analysts at Bernstein indicated that AI-driven algorithms are increasing the time spent by users in Meta's apps, raising expectations for revenue gains.
What led to the plummet of Southwest Airlines' shares?
Southwest Airlines' shares plummeted due to the adoption of a "poison pill" shareholder rights plan aimed at preventing activist investor Elliott Investment Management from acquiring more shares46. The activist firm has called for a leadership shakeup amidst Southwest's recent underperformance and struggles with issues such as Boeing delivery delays, higher labor costs, and softened demand for their economy products4.