US stocks jump on Goldilocks jobs report to cap biggest weekly rally of the year

• US stocks jumped on Friday after a Goldilocks jobs report took pressure off of interest rates.
• The US economy added 150,000 jobs in October, shy of the estimated 180,000.
• The unemployment rate ticked up to 3.9% from 3.8%, and wage growth slowed.

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US stocks surged on Friday, extending their week-long rally to 6%, after the October payrolls report showed some easing in the labor market that could give the Federal Reserve more breathing room on monetary policy.

The weekly gain registered by the S&P 500 and Nasdaq 100 represented the largest weekly jump of the year.

The addition of 150,000 jobs last month was shy of the 180,000 economists were expecting, with nearly all of the miss being driven by strikes at the Big Three automakers. The unemployment rate ticked higher to 3.9% from 3.8%, and wage growth cooled to its lowest since 2021.

The data took pressure off of interest rates, and the Fed, as evidenced by the 10-year US Treasury yield falling as much as 17 basis points to just under 4.5%, a far cry from the 5% level just over a week ago.

"The good news here is that the slowdown will likely keep the Fed on the sidelines going forward. One of their key concerns has been an overheated economy, especially after last quarter's GDP growth, and this suggests that problem is going away. Slower growth is still growth, and this jobs report is still in the sweet spot," Brad McMillan, CIO for Commonwealth Financial Network, said.

Here's where US indexes stood at the 4:00 p.m. closing bell on Friday: 

• S&P 500: 4,367.61, up 1.15% 

• Dow Jones Industrial Average: 34,061.32, up 0.8% (+270.43 points)

• Nasdaq Composite: 13,478.28, up 1.38% 

Here's what else happened today: 

• Apple reported fourth-quarter earnings on Thursday. Bright spots included its Services business and iPhone 15 sales, while investors were concerned about its China business and a marked slowdown in Mac sales.
• Warren Buffett's go-to stock market valuation gauge is ringing alarm bells for one of Wall Street's biggest bears, John Hussman.
• Amazon founder Jeff Bezos said he's moving to Miami from Seattle to be closer to his parents and the operations of his space company Blue Origins.
• The founder of the market's most famous recession indicator says the Fed overdid it with rate hikes and a downturn is still coming.

In commodities, bonds, and crypto: 

• West Texas Intermediate crude oil fell 1.71% to $81.05 a barrel. Brent crude, the international benchmark, dropped 1.75% to $85.33 a barrel. 
• Gold edged up 0.31% to $1,999.70 per ounce. 
• The 10-year Treasury yield fell 14 basis points to 4.53%.
• Bitcoin fell 0.34% to $34,574.