S&P 500 hits new record after October jobs numbers beat expectations

Stocks jumped at the start of trade Friday, with the benchmark S&P 500 index and Nasdaq Composite index notching new intraday records, after the Labor Department estimated the U.S. economy added 128,000 new jobs in October and upwardly revised its estimate of job growth in September and August.

Investors are also awaiting an influential gauge of U.S. manufacturing activity on Friday.

What are major indexes doing?

The Dow Jones Industrial Average DJIA, +0.61% rose 151 points, or 0.6%, to 27,198, while the S&P 500 index SPX, +0.64% gained 16 points, or 0.5%, to 3,053. The Nasdaq Composite index COMP, +0.75% added 35 points, or 0.4%, at 8,327.

The S&P 500 opened above its previous intraday record and its current closing record of 3,046.77, set Oct. 30 and the Nasdaq was trading above its previous closing record of 8,339.64, set July 26.

Read: Dow and S&P 500 are set to rise at least another 5% in the next 2 months — if this pattern holds

What’s driving the market?

The U.S. economy created 128,000 new jobs in October, above economist’s estimates of a 75,000 gain, while the unemployment rate ticked higher to 3.6%, in line with expectations. Furthermore, the government revised up the number of jobs created in August and September by a total of 95,000.

Wage growth rose by 0.2% in October and 3% from a year ago at a slightly lower pace than earlier in the year, but still faster than overall consumer prices.

“It’s hard not to be excited about this jobs report,” JJ Kinahan, chief market strategist at TD Ameritrade told MarketWatch. “There are tons of positives, including the uptick in jobs gains for previous months.

The numbers reflect momentum in the American, consumer-driven economy heading into the fourth quarter, Kinahan added. “Jobs have an amazing way

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