: Dow ends over 360 points lower as ADP jobs data sparks surge in bond yields
Stocks ended with a loss, but off session lows, on Thursday after a large jump in an estimate of private-sector jobs growth sent Treasury yields soaring and underlined worries about how high the Federal Reserve will ultimately need to raise interest rates. The Dow Jones Industrial Average DJIA fell around 366 points, or 1.1%, to close near 33,922, according to preliminary data, while the S&P 500 SPX and Nasdaq Composite COMP each shed 0.8%. ADP on Thursday morning said the private sector added 497,000 jobs in June. Economists polled by the Wall Street Journal had forecast a gain of 220,000 private-sector jobs. The ADP data typically isn’t a big market mover given that it’s not a reliable guide to official jobs figures, but the jump in the June data appeared to be too big for traders to ignore. The Labor Department will release its closely watched June jobs report on Friday.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.