scorecardDow tumbles 500 points as continued tech sell-off offsets strong labor-market data
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Dow tumbles 500 points as continued tech sell-off offsets strong labor-market data

Matthew Fox   

Dow tumbles 500 points as continued tech sell-off offsets strong labor-market data
Stock Market1 min read
  • US stocks traded mixed Friday after the latest US jobs report showed strong job additions and a better-than-expected unemployment rate in August.
  • The Dow Jones Industrial Average and the S&P 500 traded higher after the report was released.
  • Tech stocks struggled in comparison following a steep decline Thursday that saw the Nasdaq composite slip roughly 5%.
  • Visit Business Insider's homepage for more stories.

US stocks slipped Friday as traders weighed a better-than-expected US jobs report against the lingering effects of Thursday's tech-stock rout.

The US added 1.37 million jobs in August, according to the Bureau of Labor Statistics, slightly more than economist expectations. The unemployment rate came in at 8.4%, handily besting consensus forecasts and well below the post-pandemic high of 14.7%.

The strong jobs report did little to quell investor fears stoked after the Nasdaq composite index fell by nearly 5% on Thursday, driven by sharp losses in market mega-caps like Apple, Facebook, and Tesla.

Here's where US indexes stood at 10:45 a.m. ET on Friday:

Read more: Morgan Stanley's wealth management CIO warns there are 'particularly ominous' signs about the state of the stock market's health — and recommends jumping into these 4 trades during the next major sell-off

While the Thursday market sell-off might have put pressure on Washington to ready additional economic stimulus, Friday's jobs report may have slowed that urgency.

Investors continue to size up how long it will take for the economy to recover from the pandemic and how much higher stocks can go. While tech stocks have led the market higher since the pandemic-induced market correction began in February, valuations are beginning to be questioned.

Oil prices slid. West Texas Intermediate crude fell as much as 1.3%, to $40.84 a barrel. Brent crude, the international benchmark, slid 1.2%, to $43.53 a barrel, at intraday lows.

Read more: Ryan Murdock spent a decade in the semiconductor industry before amassing a real estate portfolio with 50 rental units. Here's why he's scooping up swaths of mobile homes after years of apartment investing.

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