(MENAFN- Baystreet.ca) Markets Digest Jobs News, Losses Heavy
Stocks fell on Friday morning as traders evaluated September's jobs report, which showed the unemployment rate continuing to decline and sparked an increase in interest rates.
The Dow Jones Industrials bruising, 505.23 points, or 1.7%, to move into noon hour Friday at 29,421.71.
The S&P 500 plummeted 77.54 points, or 2.1%, to 3,666.45.
The NASDAQ Composite faded 331.15 points, or 3%, to 10,742.16.
Advanced Micro Devices' stock fell after the chipmaker warned its third-quarter revenue would be lower than anticipated. Levi Strauss shares slipped following a cut to its guidance.
FedEx shares dropped nearly 3% after Reuters reported the shipping giant's ground division expects to lower volume forecasts, citing an internal memo. Just last month, FedEx withdrew its financial forecast due to a global demand slowdown.
Friday's jobs numbers showed the U.S. economy added 263,000 jobs in September, slightly below a Dow Jones estimate of 275,000.
However, the unemployment rate came in at 3.5%, down from the 3.7% in the previous month in a sign that the jobs picture continues to strengthen even as the Federal Reserve tries to slow the economy with rate hikes to stem inflation.
Major averages closed lower during Thursday trading but are on pace for an up week. The Dow and S&P are each set to end the week about 3% higher, while NASDAQ is on pace to rise 2%.
Treasury prices fell, lifting yields to 3.85% from Thursday's 3.82%. Treasury prices and yields move in opposite direction.
Oil prices surged $3.86 to $92.31 U.S. a barrel.
Gold prices settled $10.80 to $1,710 U.S. an ounce.
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