Shares of Yelp Inc. (NYSE:YELP) were quickly rising today after the U.S. Labor Department released a positive jobs report for the month of May.
As of 12:17 p.m. EDT, Yelp's stock was up 16.4%.
Yelp investors reacted positively to the Labor Department's May jobs report, which showed that employers added 2.5 million jobs in May. Those new jobs helped push the U.S. unemployment rate down to 13.3% last month, after reaching 14.7% in April.
Some investors are becoming increasingly optimistic about the economy as states slowly open back up and more businesses reopen their doors and bring back some of their workers.
U.S. Secretary of Labor Eugene Scalia said in a statement, "Today's report shows much higher job creation and lower unemployment than expected, reflecting that the reopening of the economy in May was earlier, and more robust, than projected."
Despite today's positive news, the unemployment rate in the U.S. is very high and it's still unclear how quickly the U.S. economy will be able to create the jobs that have been lost over the past few months.
The next few months will paint a clearer picture of how much sustained damage COVID-19 has done to the economy and whether or not some investors' current optimism for the market is misplaced or not. For now, Yelp's current share price jump today still leaves the company's share price down more than 13.5% over the past three months.