U.S. stocks ended the week on an upswing after slowing jobs growth tempered expectations that the Federal Reserve will hike rates again later this month. The S&P 500 rose 56.27 points, or 0.73%, to 7722.72. The Dow Jones Industrial Average climbed 250.40 points, or 0.49%, to 51176.96. The Nasdaq gained 319.27 points, or 1.19%, to 27190.86, near a record high.
The Labor Department reported the U.S. added just 29,000 jobs in September, well short of expectations. Unemployment ticked up as well, though it remains at a historically low level. The weaker-than-expected result gives the Fed cover to hold the federal funds rate steady at its upcoming meeting.
"The Fed can credibly argue that labor cost pressures are abating, reducing urgency for additional hikes," said Chris Osmond, chief investment officer of Fifth Third Wealth Advisors. Treasury yields initially fell after the payrolls report, but reversed course as tensions between the U.S. and Iran remain high. The 10-year Treasury yield rose 0.043 percentage point to 5.276%.
Tesla shares rose 4.7% to $370.59 after the carmaker's third-quarter sales slumped but still beat Wall Street forecasts. Nike's stock fell 3.6% after it said it would cut jobs.
Source: Wall Street Journal Markets · Summarized by HeadlinesBriefing