PrintS&P 500, Dow Rally to New Peaks After Jobs Report; Wall Street Posts Weekly Gains
BY MT Newswires | ECONOMIC | 01/09/26 04:41 PM EST04:41 PM EST, 01/09/2026 (MT Newswires) -- The S&P 500 and the Dow Jones Industrial Average reached new all-time highs on Friday following a key US jobs report that showed the unemployment rate easing in December.
The S&P 500 climbed 0.7% to 6,966.3, setting new closing highs for a second time this week. The Dow rose 0.5% to 49,504.1, reaching closing highs thrice this week. The Nasdaq Composite gained 0.8% at 23,671.4.
Barring health care and financials, all sectors ended in the green, led by materials.
The first full trading week of 2026 saw the Dow gaining 2.3%, while the Nasdaq added 1.9%. The S&P 500 rose 1.6%.
In economic news, total nonfarm payrolls in the US rose by 50,000 last month, the Bureau of Labor Statistics said. The consensus was for a 70,000 increase, according to a survey compiled by Bloomberg. The unemployment rate decreased to 4.4% in December from a downwardly revised 4.5% the month before, which was Wall Street's view.
"US growth continues to run strong on the back of a productivity burst, while the job market is holding in well enough," BMO Capital Markets Senior Economist Robert Kavcic said in a note.
The probability of the Federal Reserve keeping its benchmark lending rate unchanged later this month jumped to 95% on Friday from 89% Thursday, according to the CME FedWatch tool.
"The (jobs) data doesn't change our view for the Fed to keep policy steady as Fed members wait for more data on the labor market and inflation," Oxford Economics said in a note.
US consumer sentiment improved in January to its highest point since September, but remained subdued compared to year-ago levels amid inflation and labor market concerns, preliminary results from a University of Michigan survey showed.
"Although consumers' worries about tariffs appear to be gradually receding, they remain guarded about the overall strength of business conditions and labor markets," Surveys of Consumers Director Joanne Hsu said. "Note that more than 90% of interviews for this release were collected prior to the capture of (Nicolas) Maduro in Venezuela."
US housing starts declined in October as a double-digit drop in multi-family units muted gains in the single-family component, delayed government data showed Friday.
US Treasury yields were mixed, with the 10-year rate little changed at 4.17% and the two-year rate rising 5.1 basis points to 3.55%.
Late Thursday, US President Donald Trump said he was instructing his "representatives" to buy $200 billion in mortgage bonds. "This will drive mortgage rates down, monthly payments down, and make the cost of owning a home more affordable," Trump said in a social media post.
Builders FirstSource
Contrary to recent market speculation, the US Supreme Court didn't rule Friday on the legality of sweeping tariffs imposed by Trump last year, news outlets reported. The court is reportedly expected to issue its next rulings Wednesday.
In company news, Meta Platforms
Vistra
General Motors
West Texas Intermediate crude oil was last up 2.1% at $59.95 a barrel.
"Oil prices rose on concerns about potential disruption to Iran's output and uncertainty about supply from Venezuela," D.A. Davidson said in a note to clients.
Gold was last up 1.2% at $4,515.40 per troy ounce, while silver jumped 6.2% to $79.80 per ounce.
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