ASX up 0.5pc on US budget hopes; Jobless rate hits 3.7pc; Xero, Nufarm, AACo find strong support

Stocks finish up 0.5 per cent on US budget hopes. Unemployment rate jumps to 3.7 per cent. China lifts Australian timber ban. Xero, Nufarm and AACo find strong support.

Thursday’s jobless data is on equity investor radars along with earnings updates from major ASX businesses and global developments. Picture: Gaye Gerard

Welcome to the Trading Day blog for Thursday, May 18. ASX 200 closed 0.5 per cent higher on US budget hopes. Unemployment rate jumps to 3.7 per cent. China lifts Australian timber ban. Invesors pile into Xero, Nufarm and AACo after earnings results.

The ASX 200 index closed up 0.5 per cent at 7236.8 points on US budget hopes. Unemployment rose to 3.7 per cent in April, which could see the Reserve Bank hold fire on another rate hike next month.

On Wall Street, the S&P 500 closed 1.2 per cent stronger, the technology-focused Nasdaq Composite index gained 1.3 per cent and the Dow Jones Industrial Average lifted 1.2 per cent.

The Aussie dollar recovers to US66.56c.