Stocks React To Disappointing Jobs Report – Acadiana Business Index
Stocks finished with little change today. Mike Hunter has your stock market report on the Acadiana Business Index.
- The Dow closed up 14 points to 13306. The NASDAQ remained near a 12-year high as it finished virtually unchanged at 3136. The S&P 500 Index touched its highest level since 2008 as it gained nearly 6 points to 1437.
- Despite Friday’s flat session, the major averages posted significant weekly gains. The Dow advanced 2.3% on the week and the NASDAQ gained 2.8% while the benchmark index increased 2.7%.
- Stocks traded in a tight range as investors weighed Fed stimulus measures against a disappointing jobs report.
- Nonfarm payrolls gained 96,000 in August, missing the consensus estimate for a gain of 130,000.
- In addition, the unemployment rate unexpectedly ticked lower to 8.1% as less Americans sought employment.
- Sector action was mixed. Materials were the best performing group as commodities rallied after China approved new infrastructure projects to boost economic growth.
- Meanwhile, telecommunication shares lagged behind with Verizon down 43 cents to $43.72 and AT&T gave up 14 cents to $37.30 as investors turned to more cyclically sensitive issues.
- Attention now turns to next week’s all-important FOMC meeting with investors hoping that the central bank will take action to help stimulate growth and lower unemployment.
- Overall, NYSE Composite volume totaled over 3.6 billion shares. The NYSE was 2-1 positive on issues and 5-2 positive on volume.
- Advancers beat decliners on the NASDAQ by 4-3 on issues and it was even on volume.
- In fixed-income, the 10-year note rose for the first time in four sessions as it gained 2/32 to yield 1.67%.
For the complete report, click Ken’s Market Report.