Investors were looking forward to the US jobs report that was revealed on Friday. After the report was released, which showed that unemployment rate fell to its lowest level in 36 months, stocks were led to a big rise. Amongst the stocks and other indexes that rose included Dow Jones industrial average, which closed on Friday on its highest value since 2008 May, prior to the financial crisis which occurred later in the same year. Moreover, the Nasdaq composite index also got affected by the United States jobs report, leading it to reach its highest level in 11 years.
A jump of 156.82 points was noted in the Dow Jones industrial average index, which closed at a value of 12,862.23. The value of the index is its highest since May 19th, 2008, four months after the investment bank of Lehman Brothers collapsed. The Labor Department revealed that 243,000 jobs were added in the economy in the first month of 2012. The growth in job market was recorded to be its strongest in nine months. As a result of increased recruitment, unemployment rate went down, reaching 8.3 percent, which is its lowest since February 2009.
Due to the positive news, stock markets remained positive throughout the day. The Nasdaq index closed at a value of 2905.66, increasing by 45.98 points. The increase in the index’s value allowed it to reach its highest mark since December 2000. Moreover, the price of Treasury notes declined, which sent yields higher, while on the other hand, oil prices were also reported to be higher for the first time in the week.
Moreover, Standard & Poor 500 index also added 19.36 points, or in terms of percentage value, 1.3 percent, to settle at a value of 1,344.90. Shares of Bank Of America also rose. While most of the markets were positive, stocks of Procter & Gamble and Merck were lower.
