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US stocks surge to new highs after hiring climbs

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AP New York
Last Updated : May 04 2013 | 12:55 AM IST
A big gain in the US job market is pushing the stock market past new milestones.
The Dow Jones industrial average crossed 15,000 for the first time early today, and the Standard and Poor's 500 index, a broader market measure, broke through 1,600 for the first time.
The Dow was up 148 points to 14,979, an increase of 1 per cent, as of 1800 GMT. The S&P 500 index surged 17 points, or 1.1 per cent, to 1,615.
The government said the unemployment rate fell to the lowest level in four years, 7.5 per cent, and US employers added 165,000 jobs in April and more jobs in February and March than previously estimated.
The surge in hiring comes after weeks of conflicting signals about the strength of the global economy. The unexpectedly strong numbers jolted markets higher from the start of trading.
"There's euphoria today," said Stephen Carl, the head equity trader at The Williams Capital Group. "That's what you'd have to call it."

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On the floor of the New York Stock Exchange, brokers sported baseball caps emblazoned with "Dow 15,000".
The gains were broad. Nine of the 10 industry groups in the S&P 500 index rose. Three stocks rose for every one that fell on the NYSE.
Companies that stand to benefit most from an upturn in the economy led the stock market up. Industrial companies and those that make basic materials and produce oil and gas rose the most in the S&P 500 index. US Steel, General Electric and Dow Chemical were among the winners.
Utilities, consumer-staple companies and other safe-play stocks trailed the market as investors took on more risk.
Small-company stocks are more risky than bigger companies but can offer investors greater returns. They rose today at nearly double the pace of the broader market. The Russell 2000 was up 1.7 per cent in afternoon trading.
The Nasdaq composite index rose 41 points to 3,381, an increase of 1.2 per cent.
Stock overseas rose on US jobs report, too. The main indices in France, Germany, Spain and Brazil rose 1 per cent or more.
The S&P 500 is up 13 per cent from the start of the year. The Dow is up 14 per cent.

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First Published: May 04 2013 | 12:55 AM IST

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