Stocks Drop on Jobs Report
Stocks fell from all-time highs on Friday after the release of stronger jobs data dampened hope for easier Federal Reserve monetary policy.
The Dow Jones Industrial Average lost 79.82 points to close a short week at 26,886.18, and snap a four-day winning streak. Even so, the index picked up 1.1%, on the week.
The S&P 500 subtracted 5.41 points to 2,990.41, ending a five-day winning streak, but holding onto a weekly gain of 1.7%.
The NASDAQ Composite deducted 8.44 points to 8,161.79, the first downward reading in seven sessions, which cooled off an otherwise hot week for the tech-powered index, which soared 1.9%.
Stocks had risen to all-time highs Wednesday.
Stock markets were closed Thursday for the Fourth of July holiday.
Citigroup, J.P. Morgan Chase, Bank of America and Wells Fargo all traded higher.
In corporate news, Samsung warned its second-quarter earnings likely fell 56% on a year-over-year basis, citing weak demand for memory chips. The warning pressured semiconductor stocks like Broadcom, off 0.8%. Micron Technology also lost 0.4%.
The U.S. economy added 224,000 jobs in June. Economists had forecast the U.S. added 165,000 jobs in June, after a stunningly low 75,000 jobs were created in May
Investors expected the Fed to cut rates later this month heading into Friday's session. One expert said expectations for a rate cut in July were at 100%.
Prices for the benchmark 10-year U.S. Treasury were substantially lower, rocketing yields to 2.04%, from Wednesday's 1.95%. Treasury prices and yields move in opposite directions.
Oil prices recovered 26 cents to $57.60 U.S. a barrel.
Gold prices slouched $17.80 to $1,403.10 U.S. an ounce.