US stocks fall to end week as traders digest jobs report

Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., February 1, 2024. REUTERS/Brendan McDermid/File Photo

New York, United States — Wall Street stocks ended the week on a gloomy note Friday as investors assessed the latest US employment report and chipmaker Nvidia slumped.

The broad-based S&P 500 retreated 0.7 percent to 5,123.69, while the tech-heavy Nasdaq Composite Index lost 1.2 percent to 16,085.11.

The Dow Jones Industrial Average slid 0.2 percent to 38,722.69.

READ: Wall Street edges lower at the start of a busy week

The movements came after Department of Labor data showed that hiring remained solid in February even as the unemployment rate crept up and wage gains cooled.

The world’s biggest economy added 275,000 jobs last month, an unexpected acceleration after January’s figure was revised significantly lower.

The jobless rate edged up to 3.9 percent, the highest since early 2022 but still relatively low.

Overall, the performance “fit the market’s soft landing narrative,” said Briefing.com, referring to a situation where inflation eases without a major downturn.

Officials have been walking a fine line trying to fight inflation by lifting interest rates, without causing a major blow to the economy.

Mega cap stocks gave back early gains “due to consolidation activity, weighing on index performance,” Briefing.com added.

Among individual companies, Nvidia shares fell 5.6 percent.

Shares of Broadcom, another US chipmaker, also dropped 7.0 percent.