SynopsisUS markets climbed after June hiring slowed more than expected, easing fears of further Fed tightening. The data pointed to a cooling but resilient labour market, lifting sentiment across sectors while prompting investors to reassess rate outlook and growth expectations.Listen to this article in summarized formatReutersWall Street's main indexes rose on Thursday ​as a softer-than-expected employment report for June tempered expectations of interest rate hikes by the Federal Reserve.The closely watched nonfarm payrolls report showed the U.S. economy added 57,000 jobs last month, compared with economists' estimates for a rise of 110,000. The unemployment rate was 4.2%, in line with ‌expectations of 4.3%.The ⁠report interrupted ⁠a run of strong job gains recently and could potentially make the Federal Reserve more reluctant to raise borrowing costs.Odds of at least one ​rate hike this year stood at 76%, according to data compiled by LSEG, compared with around 84% before the payrolls report."It's a beautiful ​number. It's the best number we could hope for. It says that the job market is doing fine, but it's not hot enough to accelerate inflation," said Florian Ielpo, head of macro at Lombard Odier Investment Managers.At 9:48 a.m. ET, ​the Dow Jones Industrial Average rose 447.72 points, or 0.86%, to 52,752.96, the ⁠S&P 500 gained ‌49.84 points, or 0.67%, to 7,533.51 and the Nasdaq Composite gained 146.99 points, or 0.56%, ​to 26,187.02.BALANCING ACTMarkets ​had been concerned that stronger labor market data could give the Fed more room to ⁠focus squarely on price pressures, especially after an oil shock stemming from the U.S.-Iran ​war raised inflation concerns.This report, however, may push policymakers to pay closer attention to ​the employment side of their mandate, according to eToro U.S. investment analyst Bret Kenwell."The new-look Fed has been talking tough on inflation, and a stronger labor market would have only raised the temperature. Today's report doesn't scream labor-market trouble, but it does cool the narrative a bit," he said.On Wednesday, Fed Chair Kevin Warsh said inflation risks had eased but committed to sticking firmly to the U.S. central bank's 2% inflation target.Still, prolonged uncertainty over the Strait of Hormuz could be a ‌risk, especially if hostilities in the Middle East were to resume.The U.S. and Iran concluded a round of indirect talks on Wednesday with no sign they had made headway toward lasting peace.The rate ​uncertainty is coinciding ​with a delicate moment for the ⁠AI trade, as investors debate whether the scorching rally in AI beneficiaries, such as semiconductors, has more room to run.The Philadelphia SE Semiconductor index was flat on Thursday. Ten of 11 major S&P 500 sectors were in positive territory, led by ​materials and consumer staples ."We are seeing a lot of value outside of AI at the moment. We like the broader stock market," Lombard Odier's Ielpo said.Bending Spoons slipped 3.9% a day after the Vimeo owner gained 40% in its debut on the Nasdaq.Advancing issues outnumbered decliners by a 3.85-to-1 ratio on the NYSE and by a 2.48-to-1 ratio on the Nasdaq.The S&P 500 and the Nasdaq Composite posted no new 52-week highs and no new lows.Read More News on(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price...moreless(You can now subscribe to our ETMarkets WhatsApp channel)Read More News on(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price...moreless