By Anora Mahmudova and Sara Sjolin, MarketWatch
NEW YORK (MarketWatch) -- U.S. stock prices drew positive
momentum from a strong jobs report that suggests that the U.S.
economy is stronger than expectations.
The S&P 500 (SPX) rose 9 points, or 0.5%, to 1,955.09, with
healthcare and financial stocks leading the gains.
The Dow Jones Industrial Average (DJI) gained 83 points, or
0.5%, to 16,885.10.
The Nasdaq Composite (RIXF) added 23 points, or 0.5%, to
4,453.06.
Mike Arone, chief investment strategist at State Street Global
Advisors' US Intermediary Business, stressed that not only the
headline number of the jobs report was good, but underlying
components showed strength, referring to substantial upward
revisions for July and August.
"The fact that the wage growth remains tame and inflation below
target, bodes well for the markets as the Fed will not be pressured
to raise rates sooner. It appears that markets are finally in a
cycle where good news is good news," Arone said.
Data:The U.S. economy added 248,000 jobs in September and hiring
in August turned out to be a lot stronger than forecasts, showing
the U.S. economy entered the fall with rising momentum. The
unemployment rate fell to 5.9%, falling below 6% mark for the first
time since 2008.
Separately, the U.S. trade deficit fell 0.5% to $40.1 billion in
August, marking the lowest level since January as the nation
exported a record amount of petroleum and imported less. An update
on the September ISM non-manufacturing reading is due at 10 a.m.
Eastern.
Movers: Mylan Inc. (MYL) shares rose 3.72% after the
pharmaceutical company raised its third-quarter and full-year
earnings guidance.
Tekmira Pharmaceuticals Corp. (TKMR) shares rose 6.70%, as the
widening breadth of Ebola cases in the U.S. gave brighten the
company's business outlook. Tekmira is one of a handful of biotech
companies working on treatments for the Ebola virus.
In commodities-related shares, plunging gold prices put pressure
on miners, while energy groups suffered from falling oil prices.
Oil and mining stocks were among the worst performers on the
S&P 500. Diamond Offshore Drilling (DO) fell 3.7%, Newmont
Mining Corporation (NEM) was down 2.3%.
Shares of J.P. Morgan Chase & Co. (JPM) could be on the move
after the bank late Thursday that 76 million households were
affected by a previously disclosed cybersecurity breach.
(Read more about the day's notable stocks in Movers &
Shakers column
http://www.marketwatch.com/story/gm-jp-morgan-krispy-kreme-in-focus-2014-10-03.).
Other markets: Asian markets closed mostly in positive
territory, and European markets rebounded after a sharp selloff on
Thursday. The dollar rose against rivals after the jobs report,
recovering after a sharp slide over the past two sessions. Oil
futures climbed, while most metals declined.
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