Tech Gains Offset Weak Jobs Data
Week Ending September 5, 2025
Markets ended the week mixed as technology stocks powered higher, even while a disappointing U.S. jobs report raised fresh concerns about the strength of the economy.
The Standard & Poor’s 500 Index rose 0.33%, the Nasdaq Composite Index gained 1.14%, and the Dow Jones Industrial Average slipped 0.32%. Overseas, the MSCI EAFE Index, which tracks developed international markets, edged up 0.04%. Closer to home, the S&P/TSX Composite Index advanced 0.71%, marking its eighth straight session of gains and closing at a record high above 29,000.
Market Overview
Weekly Market Performance (September 1–5, 2025)
- S&P 500: +0.33%
- Nasdaq Composite: +1.14%
- Dow Jones Industrial Average: –0.32%
- MSCI EAFE (International Developed Markets): +0.04%
- S&P/TSX Composite Index (Canada): +0.71%
U.S. Markets: Tech Strength vs. Jobs Weakness
Stocks began the week on shaky footing, with tariff worries and rising Treasury yields sparking volatility. By midweek, momentum turned as technology stocks rebounded strongly, led by two megacap names—Alphabet, which surged after avoiding an antitrust penalty, and Apple, which also advanced following the favorable ruling that preserved its lucrative search deal with Google.
On Thursday, softer private hiring data and rising layoffs lifted hopes that the Federal Reserve may soon cut rates, helping the S&P 500 notch another record close. But Friday’s weaker-than-expected jobs report reversed some optimism, highlighting ongoing cracks in the labor market.
Canada & the TSX
The S&P/TSX Composite Index climbed 0.71% last week, extending its winning streak to eight sessions and setting a fresh record high.
- Gains were supported by strength in resource and technology shares.
- Investor sentiment improved on expectations that the Bank of Canada may have room to ease monetary policy.
- Oil prices and global demand outlook remain key drivers for Canadian equities.
Economy Watch
The latest U.S. jobs report disappointed:
- Employers added just 22,000 jobs in August, well short of expectations for 75,000.
- The unemployment rate rose to 4.3%, the highest in four years.
- June’s job creation figures were also revised lower by 27,000.
- Taken together, these numbers point to a cooling labor market, keeping Fed policy in sharp focus.
Key Economic Reports: Week Ahead (September 8–12, 2025)
Monday, September 8
- Consumer Credit
Tuesday, September 9
- NFIB Small Business Optimism Index
Wednesday, September 10
- Producer Price Index (PPI)
- Wholesale Inventories
Thursday, September 11
- Consumer Price Index (CPI)
- Weekly Jobless Claims
- Federal Budget
Friday, September 12
- Consumer Sentiment
Corporate Earnings: This Week
Tuesday, September 9
- Oracle Corporation (ORCL)
Thursday, September 11
- Adobe Inc. (ADBE)
“Challenging power structures from the inside, working the cracks within the system, however, requires learning to speak multiple languages of power convincingly.”
– Patricia Hill Collins
A lone pine tree stands on a cliff. The wind is blowing from the east through the mountains. Which way do the tree’s leaves blow?
Last Week's Riddle: It has no crown, yet when the chips are down, it is more powerful than a king or queen. What is it?
Answer: An ace in a deck of cards.
Through the magic of Rotary, Melissa's son Marshall, who is presently on a youth exchange in Japan, had the incredible honour of serving as a primary carrier of the Shrine as it was walked through the town to the temple—an unforgettable experience of tradition and connection.
Footnotes and Sources
1. WSJ.com, September 5, 2025
2. Investing.com, September 5, 2025
3. CNBC.com, September 2, 2025
4. CNBC.com, September 3, 2025
5. CNBC.com, September 4, 2025
6. WSJ.com, September 5, 2025
7. MarketWatch.com, September 5, 2025
8. IRS.gov, October 8, 2024
9. Bloomscape, March 20, 2025
Investing involves risks, and investment decisions should be based on your own goals, time horizon, and tolerance for risk. The return and principal value of investments will fluctuate as market conditions change. When sold, investments may be worth more or less than their original cost.
The forecasts or forward-looking statements are based on assumptions, may not materialize, and are subject to revision without notice.
The market indexes discussed are unmanaged, and generally, considered representative of their respective markets. Index performance is not indicative of the past performance of a particular investment. Indexes do not incur management fees, costs, and expenses. Individuals cannot directly invest in unmanaged indexes. Past performance does not guarantee future results.
The Dow Jones Industrial Average is an unmanaged index that is generally considered representative of large-capitalization companies on the U.S. stock market. The Nasdaq Composite is an index of the common stocks and similar securities listed on the Nasdaq stock market and considered a broad indicator of the performance of stocks of technology and growth companies. The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) and serves as a benchmark of the performance of major international equity markets, as represented by 21 major MSCI indexes from Europe, Australia, and Southeast Asia. The S&P 500 Composite Index is an unmanaged group of securities that are considered to be representative of the stock market in general.
U.S. Treasury Notes are guaranteed by the federal government as to the timely payment of principal and interest. However, if you sell a Treasury Note prior to maturity, it may be worth more or less than the original price paid. Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.
International investments carry additional risks, which include differences in financial reporting standards, currency exchange rates, political risks unique to a specific country, foreign taxes and regulations, and the potential for illiquid markets. These factors may result in greater share price volatility.
Please consult your financial professional for additional information.