The stock market closed higher on Friday after the November jobs report signaled a cooling inflation and resilient economy. The US unemployment rate declined 3.7% in November, from 3.9% in October. Meanwhile, 199,000 jobs were added, up from the 190,000 estimate and 150,000 jobs added in October.
With these latest economic data, investors are optimistic that the Federal Reserve is leading the economy toward a steady recovery amid falling inflation.
Overall, S&P 500 rose 0.4% to 4,604, while NASDAQ increased 0.5% to 14,404.
Tweet of the Day
If you're confused on what a good flag/triangle/pennant setup looks like, these images are great models of what you're looking for. Just like in the VCP video I just posted, you want the highs (point 2) and the lows (point 3) getting closer to each other with each subsequent… pic.twitter.com/i8VWSHF1ck
— AsymTrading (@AsymTrading) December 5, 2023
Chart of the Day
Here is the one-year chart of Datadog (DDOG) as of November 8, 2023, when the stock was at $100.
Datadog’s stock rebounded as usage growth improved. The stock dropped from $106 to $88 after it reported earnings in August as management said that they were witnessing a slowdown in usage from customers who started optimizing a year ago. When the company reported results this November, the stock jumped to from $80 to $102. In the earnings call, management noted that usage growth is on par with what they saw 3QtrsAgo, with usage growth sequentially improving for all customer sizes. New customer growth also remains robust. In terms of earnings, it was another great quarter for Datadog with 96% profit growth on 25% revenue growth. New customer acquisition is also strong as the company enjoyed its most successful quarter in terms of new deals with more than $100,000 in annual commitments.
DDOG is part of our Growth Portfolio. This is one of the top software stocks around, and the stock may have just turned up after a two-year correction.
