Stocks Surge In Early Trading After Hiring Climbs
Utilities, consumer-staple companies and other safe-play stocks trailed the market as investors took on more risk.
The yield on the benchmark 10-year Treasury note jumped from its lowest level of the year, as traders moved money out of the safety of government bonds. The yield rose to 1.74 percent from 1.63 percent late Thursday.
Small-company stocks are more risky than bigger companies but can also offer investors greater returns. On Friday, they outpaced the broader market. The Russell 2000 jumped 14.57 points, or 1.6 percent, to 954.42, a new all-time high.
The Nasdaq composite index rose 38.01 points to 3,378.63, an increase of 1.1 percent. Still, it remains well below its dot-com peak.Stock markets overseas also rose on the U.S. jobs report. The main indexes in France, Germany, Spain and Brazil climbed 1 percent or better. The S&P 500 is up 13 percent from the start of the year. The Dow is up 14 percent. Some investors were skeptical. Tim Biggam, chief market strategist at the brokerage TradingBlock in Chicago, said he thought the market was being driven higher by people hoping that the Federal Reserve's efforts to help the economy will keep working. Biggam said they're ignoring troublesome trends. "This may be the time you want to avoid getting in the market in my opinion, rather than jump in," Biggam said. Among other stocks making big moves on Friday: â¿¿ Gilead Sciences jumped $2.97 to $55.15, a gain of 6 percent, one of the biggest gains in the S&P 500 index. The maker of HIV drugs reported a 63 percent surge in income in the first quarter thanks to lower costs and increased sales. â¿¿ Kraft Foods rose $2.58 to $53.11, an increase of 5 percent. The food maker reported first-quarter income and revenue that beat the forecasts of Wall Street analysts as it increased sales and cut costs following its split from its global snack business.
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