U.S. Stocks Rise as Employment Data Offset Fed Stimulus Concern

Bloomberg (09/11) -- U.S. stocks rose, with the Standard & Poor’s 500 Index rebounding from its biggest loss in two months, as better-than-forecast jobs report added to signs growth is strong enough for the economy to withstand a stimulus reduction.

Priceline.com Inc. advanced 5 percent after reporting sales that topped analysts’ estimates and promoting Darren Huston to chief executive officer. Gap Inc. climbed 8.7 percent as its profit forecast beat expectations. Groupon Inc. jumped 5.8 percent after posting a narrower-than-estimated loss and agreeing to buy South Korean deals website Ticket Monster Inc. A jump in bond yields boosted insurers and weighed on homebuilders and dividend stocks. The S&P 500 rose 0.9 percent to 1,763.59 at 3:15 p.m. in New York for the biggest gain since Oct. 16. The Dow Jones Industrial Average added 100.47 points, or 0.6 percent, to 15,694.45. Trading in S&P 500 stocks was 13 percent above the 30-day average during this time of the day. The S&P 500 dropped 1.3 percent yesterday as data showing faster-than-expected economic growth fueled speculation that the Fed may scale back stimulus soon. Equities rebounded today as the labor report added to evidence that growth in the world’s largest economy is strengthening.