Photo: Thomas Trutschel/Photothek via Getty Images

Facebook stock was up nearly 4% in after-hours trading on Wednesday after the tech giant reported that it beat Wall Street expectations on earnings per share and revenue.

Why it matters: The company has been warning for several quarters that ad growth (where nearly all of its revenue comes from) is expected to slow late this year due to saturation in its main News Feed. As a result, Facebook has been investing more in monetizing its "Stories" feature on both its main app and Instagram.

Be smart: The company has faced increased competition from other tech giants for ad revenue and engagement. Amazon has notably begun to eat into its ad market share slightly. TikTok has also started to steal attention from younger users.

By the numbers via CNBC:

  • Earnings: $2.12 vs. $1.91 per share forecast by Refinitiv.
  • Revenue: $17.65 billion vs. $17.37 billion forecast by Refinitiv.
  • Daily active users: 1.62 billion vs. 1.61 billion forecast by FactSet.
  • Monthly active users: 2.45 billion vs. 2.45 billion forecast by FactSet.
  • Average revenue per user: $7.26 vs. $7.09 forecast by FactSet.

Between the lines: Facebook has faced criticism over the past few weeks after saying it would not fact-check ads from political candidates or politicians. Facebook rival Twitter announced at the same time Facebook released its earnings report that it would no longer accept any political or advocacy ads globally.

Go deeper

U.S. economy adds 1.8 million jobs in July

Data: Bureau of Labor Statistics; Chart: Axios Visuals

The U.S. added 1.8 million jobs last month, while the unemployment rate fell to 10.2% from 11.1% in June, the Labor Department said on Friday.

Why it matters: The labor market continued to recover but the pace of job growth slowed significantly from June’s 4.8 million job gain, suggesting a stalled recovery as coronavirus cases surged and states pulled back on reopening plans.

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But beneath that facade of normalcy lie some interesting trends spurred on by fan-less environments, long layoffs and condensed schedules.

A soaring Nasdaq is just one slice of the buy-anything market

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The Nasdaq closed above 11,000 for the first time on Thursday, ending the session higher for the seventh time in a row and eighth session in nine. It has gained nearly 10% since July 1.

Why it matters: It's not just tech stocks that have rallied recently. Just about every asset class has jumped in the third quarter, including many that typically have negative or inverse correlations to each other.