By Victor Reklaitis, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks jumped to fresh intraday
records on Friday after a solid jobs report, and the small-cap
Russell 2000 index turned positive for the year.
The S&P 500(SPX) advanced 7 points, or 0.4%, to 1,948, as it
hit an all-time intraday high and worked on achieving a record
close for the third straight day. The benchmark has set 17 record
closes so far this year and is up 1.3% for the week.
The Dow Jones Industrial Average(DJI) rose 63 points, or 0.4%,
to 16,899, leaving the blue-chip index on pace for its second
straight record close and a 1.1% weekly gain. It also hit an
intraday record Friday and has notched seven closing records so far
this year.
The Nasdaq Composite(RIXF) jumped 21 points, or 0.5%, to 4,317.
The tech-heavy index is eyeing a weekly advance of 1.8% and trading
at levels last seen in late March.
The Russell 2000(RUT) climbed 11 points, or 1%, to 1,165, and
the small-cap index is on track for a 2.7% gain for the week. It
has turned slightly positive for the year -- up 0.1%. Analysts had
worried in mid-May that the drop by more economically sensitive
small caps would spread to the broader market, but the Russell 2000
has ended up finding a bottom and rallying.
The U.S. economy added 217,000 jobs in May, and the unemployment
rate held steady at 6.3%, the Labor Department said Friday.
Economists polled by MarketWatch had expected a gain of 210,000,
with the unemployment rate rising to 6.4% from 6.3% in April.
In the wake of Friday's jobs report, investors "seem to believe
that there is no reason to rip up the script," said Andrew
Wilkinson, chief market analyst at Interactive Brokers, in emailed
comments. "Monetary stimulus is likely to remain evident even as
the taper-countdown goes on, which means that bond yields are
likely to remain low thus underpinning the rally in equity prices
to fresh record highs." (Read more: 'Solid report all around' --
May jobs reactions
http://www.marketwatch.com/story/solid-report-all-around-may-jobs-reactions-2014-06-06.)
On Thursday, the S&P 500 and Dow industrials both nabbed
their best gains since May 21, helped by the European Central Bank
announcing a raft of stimulus measures.
Among individual stocks on Friday, Hertz Global Holdings
Inc.(HTZ) dived 10% after the car-rental company said it would have
to restate and correct its results from 2011 through 2013.
Bank of America Corp. (BAC) is drawing attention after The Wall
Street Journal reported the bank is in talks to pay a fine of at
least $12 billion to settle probes tied to toxic mortgages. Shares
rose 1%.
E-Trade Financial Corp.(ETFCD) fared best among S&P 500
stocks, rising 5.2% after reportedly drawing an upbeat note from
Nomura Securities analysts, who backed their buy rating.
In other markets, European stocks continued to push higher after
the Stoxx Europe 600 closed at the highest level in six years on
Thursday, driven by the ECB's moves. Asian stocks finished largely
mixed on Friday, with the wait for U.S. jobs data keeping a lid on
the action. September gold (GCZ4) edged lower, while July oil
(CLN4) also dipped.
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