What Happened?

Shares of financial services company Robinhood (NASDAQ: HOOD) jumped 7% in the afternoon session after the major indices rebounded, as the Bureau of Labor Statistics report revealed a resilient labor market with non-farm payrolls rising by 139,000 in May 2025, significantly above the consensus forecast of 125,000. 

Notably, a stable labor market often supports consumer spending, which is a key driver of economic growth, which means the report could help ease some of the recession fears that gripped markets. The data also supports the soft landing narrative, where the Fed can manage inflation toward its 2% target without significant damage to the economy.

The shares closed the day at $74.90, up 3.3% from previous close.

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What The Market Is Telling Us

Robinhood’s shares are extremely volatile and have had 55 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 3 days ago when the stock gained 6.3% as stocks edged higher (Nasdaq +0.9%, S&P +0.6%) while momentum in the crypto space picked up amid concerns the proposed spending bill (One Big Beautiful Bill) would raise the already bloated US fiscal deficit, making it difficult to keep inflation under control. Inflation fears, partly triggered by the ongoing trade war, have driven a demand for safe-haven assets and alternative stores of value. 

These concerns are fueling demand for digital assets, with Bitcoin reaching a new all-time high in May 2025. For stocks like HOOD, this means more people are trading, which often translates into sales.

Robinhood is up 90.3% since the beginning of the year, and at $75.04 per share, has set a new 52-week high. Investors who bought $1,000 worth of Robinhood’s shares at the IPO in July 2021 would now be looking at an investment worth $2,155.

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