The Dow and S&P 500 looked set to rise a fourth session in a row after Friday’s closely watched jobs report came in better than forecast, solidifying expectations for a final rate increase by the Federal Reserve in December and underlining strength in the U.S. economy. However, disappointment over comments made by Apple Inc.’s AAPL, -7.35% executives made late Thursday about its unit sales was slamming shares of the iPhone maker and weighing on the broader market. The Dow Jones Industrial Average DJIA, -0.46% where Apple is a component, was up 164 points, or 0.7% at 25,551. Apple’s shares were down 5.8%, or $12.54, translating to a nearly 90-point headwind for the price-weighted Dow. Meanwhile, the S&P 500 index SPX, -0.64% rose 0.5% to 2753, while the Nasdaq Composite Index [: COMP] was flat at 7,435. The U.S. economy added 250,000 new jobs in October, beating economists’ expectations of 202,000, according to a MarketWatch poll. The unemployment rate remained unchanged at 3.7%, while the report showed year-over-year wage gains rising to 3.1%, slightly above the consensus estimate of 3%. Investors also were watching developments in trade talks between the U.S. and China after a Bloomberg reported said President Donald Trump ordered a draft agreement be created ahead of talks between him and Chinese President Xi Jinping later this month.
See Full Story Stocks poised to snap three-day winning streak; Apple sours on outlook
Stocks are trading lower Friday, erasing an early rally that saw the Dow Jones Industrial Average surge nearly 200 points, as stronger-than expected jobs report reaffirmed the consensus that the Federal Reserve will again raise interest rates soon.
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