"Stocks React to Monthly Jobs Data and Debt-Ceiling Deal Optimism on Wall Street"

The monthly labor-market updates from the Department of Labor have been driving significant swings in US stocks this year, with the S&P 500 moving on average 1.7% in either direction in response to the NFP data. Jobs data has regained relevance as investors brace for a recession, and the labor market is seen as the last bulwark against it. The logic is simple: employment growth is a critical prerequisite for economic growth, and consumer spending is the most important driver of economic growth in the US. Without jobs, consumers can't spend.