The stock market experienced gains even as job growth in April surpassed expectations. The United States saw the creation of 253,000 jobs, a significant increase compared to the anticipated 180,000, as per Dow Jones estimates.

Apple reported strong financial results for the second fiscal quarter, driven by robust iPhone sales. Consequently, Apple's stock value increased by around 4.7%.

Regional bank stocks experienced a resurgence, aided by an analysis from JPMorgan. The financial institution upgraded Western Alliance, Zions Bancorp, and Comerica to overweight, citing their "substantially mispriced" status partly due to short-selling activities. The SPDR S&P Regional Banking ETF (KRE) rose more than 6%, while PacWest and Western Alliance shares surged by 81.7% and 49.2%, respectively.

However, regional banking stocks faced challenges this week as investors worried that other banks could face similar difficulties as Silicon Valley Bank and Signature Bank, both of which collapsed in March.

Liz Young, SoFi's Head of Investment Strategy, remains skeptical about the regional banking sector's recovery, despite the rebound. She explained that the issue initially stemmed from deposit flight but has since evolved into the mark-to-market valuation of securities on banks' books. Young believes the news cycle is far from over and is unlikely to resolve itself without any consequences.