By Victor Reklaitis and Anora Mahmudova, MarketWatch
After two days of big falls, then two days of big gains, more
losses
NEW YORK (MarketWatch) -- The U.S. stock market ended a volatile
week on a down note Friday, with strategists blaming the slide in
part on December's jobs report that revealed a drop in wages.
Slumping oil prices and headlines about a dual hostage crisis in
France added to the negative mood.
The main benchmarks finished lower for the week, which has been
marked by sharp sell-offs on Monday and Tuesday, then big rallies
on Wednesday and Thursday. The Dow Jones Industrial Average moved
by triple digits for the fifth session in a row. Friday's losses
put the main indexes back into negative territory for the year.
The S&P 500 (SPX) closed 17.33 points, or 0.8%, lower at
2,044.81, and ended the week with a 0.7% loss. Financials and
consumer-discretionary stocks led the losses on Friday, while all
10 sectors ended lower. Energy stocks lost 3.6% for the week, as
oil prices continued to fall.
The Dow Jones Industrial Average (DJI) slid by 170.50 points, or
1%, at 17,737.37 ending the week 3.5% lower. The Nasdaq Composite
(RIXF) finished down 32.12 points, or 0.7%, to 4,704.07, recording
a 0.5% loss for the week.
Read more: Here's what we know so far about the hostage
standoffs in France
Friday's much-awaited jobs report:The U.S. economy added 252,000
jobs last month, while the unemployment rate ticked down to
5.6%.
But hourly wages declined and more Americans dropped out of the
labor force, suggesting the economy may not be shifting into a
higher gear. Analysts said decelerating wage growth may keep the
Federal Reserve from raising rates sooner.
The headline numbers were "great," and it looks like the central
bank has achieved its unemployment goal, but "the lack of wage
growth concerns policy makers, as it means that their other mandate
-- inflation -- will continue to stay below target," said Michael
Arone, an investment strategist at State Street Global
Advisors.
"Still, I would argue that wage growth is on the horizon, and we
may begin to see it next month as 25 states increased their minimum
wages," he added.
Also read: How economists are assessing the jobs report
Movers and shakers: Bed Bath & Beyond Inc. (BBBY) was the
second-worst performer among S&P 500 stocks after the retailer
late Thursday posted quarterly revenue that missed Wall Street's
forecasts.
Oil major Chevron Corp.(CVX) fared worst among Dow components,
falling 1.7%.
(Read more in Friday's Movers & Shakers column
http://www.marketwatch.com/story/macys-gap-bed-bath-beyond-in-focus-2015-01-09.)
Other markets: The U.S. oil benchmark (CLG5)dropped, while gold
prices (GCG5) gained. Asian stock markets closed mixed, while
European equities ended Friday mostly lower.
The dollar declined against most major currencies.
MarketWatch's Sara Sjolin in London contributed to this
report.
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