PrintDow Snaps 3-Day Record Run as Wall Street Wavers After Jobs Report
BY MT Newswires | ECONOMIC | 05:08 PM EST05:08 PM EST, 02/11/2026 (MT Newswires) -- The Dow Jones Industrial Average slipped from record highs as a strong jobs report boosted bets that the Federal Reserve would keep interest rates steady next month.
The Dow fell 0.1% at 50,121.4 after hitting record highs in the past three sessions. The Nasdaq Composite dropped 0.2% to 23,066.5, while the S&P 500 was flat at 6,941.5. Most sectors ended higher, led by energy, while financials saw the steepest decline.
In economic news, the US economy added 130,000 jobs in January, delayed official data showed Wednesday. The consensus was for a 65,000 increase in a Bloomberg-compiled survey.
The unemployment rate fell to 4.3% last month, while Wall Street expected it to hold steady at December's 4.4% print.
The probability of the Fed leaving its benchmark lending rate unchanged next month surged to 93% Wednesday from 80% Tuesday, according to the CME FedWatch tool.
"The employment report for January was robust and adds to evidence of a strengthening labor market," David Doyle, head of economics at Macquarie, said in a report. "We continue to expect that the (Fed's) rate cutting is complete with the next move likely to be a hike, potentially in 2026."
Late last month, the US central bank left its benchmark lending rate steady, citing signs of stabilization in the unemployment rate as inflation remained elevated. The pause followed last year's three back-to-back 25-basis-point rate cuts amid concerns about the labor market.
Benchmark revisions from April 2024 to March 2025 showed that the level of employment was lower by 898,000, "a little less than flagged by the preliminary estimate released last fall but still large," TD Economics said.
"Amid a backdrop of still elevated inflationary pressures, the Fed can be patient in its approach to further policy easing," according to the TD report.
The Fed's monetary policy should remain "somewhat restrictive" to cool inflation, Kansas City Fed President Jeffrey Schmid said, as he cautioned against cutting interest rates further.
"Further rate cuts risk allowing high inflation to persist even longer," he said in remarks prepared for delivery at an economic forum in New Mexico.
US Treasury yields were higher, with the 10-year rate last up 2.8 basis points at 4.18% and the two-year rate rising 5.6 basis points to 3.52%.
"Treasury markets sold off on the stronger-than-expected jobs report and fed funds futures have priced in less than 10% odds on a March rate cut, down from around 20% prior to the release," Sal Guatieri, senior economist at BMO, said in a report.
In company news, Robinhood Markets
Humana (HUM) provided a full-year earnings outlook below the Street's estimates Wednesday as the health insurer flagged headwinds tied to quality ratings of its Medicare Advantage plans. The company's shares were down 3.3%.
GlobalFoundries'
Caterpillar
West Texas Intermediate crude oil was last up 1.7% at $65.06 a barrel, while Brent rose 1.6% to $69.88 a barrel.
"Oil trades firmer, with Brent back above $69 as Middle East tensions sustain a modest risk premium," Saxo Bank said in a report. "The US signaled it is considering seizing tankers carrying Iranian oil, while President (Donald) Trump threatened to deploy another aircraft carrier should nuclear talks with Iran fail."
Trump said on social media Wednesday that he had met with Israel Prime Minister Benjamin Netanyahu.
"There was nothing definitive reached other than I insisted that negotiations with Iran continue to see whether or not a deal can be consummated," the US leader said. "If it can, I let the Prime Minister know that will be a preference. If it cannot, we will just have to see what the outcome will be."
Gold was last up 1.6% at $5,111.90 per troy ounce, while silver jumped 4.9% to $84.29 per ounce.
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