Wall Street Climbs as Jobs Report Eases Inflation Fears

Wall Street indexes climbed higher on Friday, October 5, 2026, after a softer-than-expected US jobs report eased concerns about inflation. The S&P 500 rose 0.7%, the Dow Jones Industrial Average added 0.5%, and the Nasdaq composite gained 1.2%. The Australian sharemarket is set to rise, with futures pointing to a 0.3% gain at the open.

The US economy added 29,000 jobs in September, less than economists expected and a slowdown from August’s net hiring rate of 133,000. This data tamped down fears of a too-strong economy fueling higher inflation. The Federal Reserve recently raised interest rates to combat inflation, and traders now see less than a 23% probability of another rate hike later this month, down from 64% a week ago.

US Treasury yields dropped briefly below 5.17% before bouncing back to 5.28%. Oil prices fluctuated between $98 and $103 per barrel before settling at $102.25. Tesla rallied 4.7% after reporting stronger-than-expected vehicle deliveries, while Nvidia’s 1.3% rise was the strongest force lifting the S&P 500. Nike fell 3.6% despite a stronger profit, as revenue weakened and its forecast fell short of expectations.

Globally, European indexes rebounded from earlier losses, while Asian markets were mixed. The S&P 500 closed at 7,722.72, the Dow Jones at 51,176.96, and the Nasdaq at 27,190.86. The Australian dollar was trading at US69.56¢.