US Stocks Push Higher After Middling Jobs Report


US stocks push higher after middling jobs report

NEW YORK, (APP - UrduPoint / Pakistan Point News - 2nd September, 2016) - Wall Street shares gained in early trade Friday after the much-awaited US August jobs report came in under forecasts, not clearly strong enough to support a Federal Reserve rate increase.

Markets took the lower-than-expected 151,000 jobs created last month -- compared to the 190,000 average of the previous three months -- as not weak enough to clearly deter the Fed from hiking rates at its September 20-21 meeting, but not strong enough to push it into action that soon.

That left the decision dependent on what other data shows in the next few weeks but bond and Currency markets were generally aligned with the view of Nariman Behravesh, chief economist at IHS Markit.

"Mediocre jobs growth in August means that the Fed is unlikely to pull the trigger in September," he said in a client note. About 45 minutes into trade (1415 GMT), the Dow Jones Industrial Average was up 0.

5 percent at 18,503.95.

The broad-based S&P 500 gained 0.5 percent to 2,180.67, while the tech-rich Nasdaq Composite added 0.6 percent at 5,256.59. A rebound in crude oil prices on the back of Russian President Vladimir Putin's call for OPEC to agree to a production freeze helped oil sector shares generally, with major producers Exxon Mobil and Chevron both 0.6 percent higher.

Aircraft maker Boeing led the Dow gainers with a 1.3 percent jump followed by home improvement retailer Home Depot, up 1.1 percent. Retail giant Wal-Mart Stores led the losers down 0.2 percent.

Among tech stocks Twitter surged for the third straight day, adding 1.8 percent, amid talk it could be a takeover target. Chinese online marketplace Alibaba jumped 2.0 percent. Shares of Lululemon Athletica, the women's sportswear chain, sank 9.1 percent after it delivered a weaker than expected earnings outlook for the rest of this year.