Nvidia Smashes Records as Weak Jobs Report Ignites Stock Rally

A weak jobs report in the US sent stocks soaring on Friday, lifting Nvidia to record highs and propelling the Nasdaq 100 to new all-time highs. The nonfarm payrolls rose by just 29,000 versus expectations of roughly 84,000-90,000.

The unemployment rate ticked up to 4.2% from 4.1%, adding to the tension between a soft labor market and a still-restrictive Federal Reserve. Investors now see little chance of a hike at the October meeting, with odds falling to 17%.

Treasury yields tumbled on the data, easing pressure that has weighed on equities this week. The S&P 500 advanced 0.6% to 7,714, while the Dow Jones Industrial Average rose 0.3%, or about 137 points, to 51,066.

The Nasdaq 100 gained 1.1% to 30,825, with chip stocks leading the move as Nvidia hit a record high at $237.88 per share. The Technology Select Sector SPDR Fund was up about 1.3%, followed by the Consumer Discretionary Select Sector SPDR Fund at 1.2% and the Materials Select Sector SPDR Fund at 1.0%.