After Market: A Rising Employment Tide Lifts All Stocks


There's a popular expression here on Wall Street when things are going well: A rising tide lifts all boats. And that was certainly the case Friday.

A bullish jobs report sent stocks sharply higher: The government said 203,000 jobs were created last month, and the unemployment rate dropped to 7 percent. That's the lowest it's been in five years.
Stocks Continue Downward Slide
Andrew Burton/Getty Images
The Dow Jones industrial average (^DJI) rallied 198 points, snapping a five-session losing streak. The Standard & Poor's 500 index (^GPSC) jumped 20 points, and the Nasdaq composite index (^IXIC)
gained 29.

It was a broad-based rally with the number of gainers swamping the number of losers. But despite the big gains, the Dow and the S&P both ended their streak of eight straight weekly gains.

Financial stocks, technology, consumer and industrials led Friday's advance.

Intel (INTC) was a big winner, up 3 percent after Citigroup (C) raised its rating to 'buy' from 'neutral.' Its analyst says corporate demand for PCs is stabilizing. Other blue chip gainers: Procter & Gamble (PG), Travelers (TRV), Boeing (BA) and United Technologies (UTX) were all up about 2 percent.

But Apple (AAPL) lost 1 percent after hitting a one-year high on Thursday.

Once again, a number of retailers found themselves in investors' cross-hairs after issuing disappointing outlooks for the holiday shopping season.
  • American Eagle Outfitters (AEO) dropped 9.5 percent.
  • Ulta Salon (ULTA) tumbled 21 percent.
  • And the discount retailer Five Below (FIVE) ended the day -- you guessed it -- 5 percent below where it closed on Thursday.
  • Sears (SHLD) lost nearly 4 percent after saying it would spin off its Lands' End division.

Meanwhile, J.C. Penney (JCP) dropped 8.5 percent on word of an SEC inquiry into its finances. And Barnes & Noble (BKS) is under the SEC microscope, too. The agency is looking into the company's earnings restatement from back in July, as well as allegations from a former employee about improper accounting practices. The bookseller's stock fell 12 percent.

And InterOil (IOC) plunged 37 percent after agreeing to sell a majority stake in two gas fields, apparently for far less than investors had expected.

What to Watch Monday:

(There are no major business news events scheduled.)

-Produced by Drew Trachtenberg.

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\"The government said\" equals BS to me. Jobs are up? What jobs? There\'s not many jobs in my area. The funny thing is our overpaid, pampered politicos call their \"jobs\" the low end, 29 hour no benefit Mcjob dead end starvation wagers as jobs. Try to support your family on the $9.00 an hour you make at these jobs.

December 09 2013 at 2:55 AM Report abuse +2 rate up rate down Reply
1 reply to fisheadnj's comment

come get ur jobs that the muslim clown has created in the last 5 years now ,$9 an hour 29 hrs a week, micky dees~dollar store~walmart~booger king HA HA HA HA ,ALL AMERICANS WERE HOODWINMED BY THE USELESS / WORTHLESS MUSLIM CLOWN~~deport all illegal immigrants that obamit let "break" into america. !!

December 09 2013 at 3:39 AM Report abuse rate up rate down Reply

A lot of contruction and production is driven by the many Natural and other disasters. There are still many vacant business sites and residential properties. There are failed projects and other bankrupted projects still rotting away. Too many projects cause duplicate of retail categories or low wage service jobs that drive wages lower increasing the demand for public assistance.

December 08 2013 at 10:51 PM Report abuse +2 rate up rate down Reply

Conservatives = Bottom feeders.

December 08 2013 at 10:50 PM Report abuse +1 rate up rate down Reply
1 reply to Frankie's comment

They feed at the bottom of the mountain of debt that has been created by the fools in office now, and by their liberal money grubbing, give it all to the lazy, non work ethic holding socialist left wing leaning suck on the gov\'t tit lovers.

December 09 2013 at 3:03 AM Report abuse rate up rate down Reply

Stocks are doing well because the profits have come at the cost of the middle class's decline. The demand for new higher minimum wages is driven by the decline of the working classes who were ransacked by outsourcing and related job displacement.
Education is often ignored for low bid labor with no frill benefits. Just like there can be too many Bosses and not enough workers there can be an over supply of people in higher occupatiions in the other fields. Eventually technology will cause an oversupply in many fields using artificial intelligence.

December 08 2013 at 10:21 PM Report abuse rate up rate down Reply
1 reply to Iselin007's comment

iselin, just nonsense. stocks are overpriced because
of federal intervention -- in order to give the illusion
that the economy is 'just fine'. don't buy it. stock
prices are artificially manipulated by the fed buying
trillions of dollars worth of securities over the years.
unfortunately, that means you and i and our children
are paying for these speculative adventures.

December 08 2013 at 10:41 PM Report abuse +2 rate up rate down Reply

pirv, you are spelling your new screen name wrong, Evan.

December 08 2013 at 9:59 PM Report abuse -1 rate up rate down Reply

More liberal propaganda. We have the smallest workforce in decdes. We have a higher percentage of people who have retired, gone on permanent disability, unemployment or welfare and have left the work force. That and THAT alone is the reason the percentage is down. More people have quit looking for work and they are no longer included in the equation. Simple math...even liberals should be able to figure it out.

December 08 2013 at 9:08 PM Report abuse +2 rate up rate down Reply
2 replies to William's comment

Unemployment is Obama's new welfare.

December 08 2013 at 9:19 PM Report abuse rate up rate down Reply
1 reply to betty_brock's comment

the first stip to welfare

December 08 2013 at 9:23 PM Report abuse +2 rate up rate down

Much of the bean counting is estimates. They don't want to know the legal status of workers nor do they want to know if they are on a visa ect. People working two jobs are counted as two people inflating the numbers of people with jobs. The not in the workforce is far too large. Many people have just fallen out of these counts for many reasons. If there was a giant demand for workers the not in the workforce would shrink. A demand large enough would cause many workers to change current jobs.

December 08 2013 at 10:37 PM Report abuse rate up rate down Reply

Liberals think Socialism/Communism will be wonderful but you are fooled, Comrads.

December 08 2013 at 8:56 PM Report abuse rate up rate down Reply

Look at all the GOP people complaining. It is a shame they cannot think for themselves. They are told what to do and say by the big money machine of the GOP. Lord help this country if they controlled all 3 branches of govenment. President Obama is doing a wonderful job cleaning up the mess of the bush jr. administration. And look at the do nothing congress, controlled by the GOP that he has to work with.

December 08 2013 at 8:48 PM Report abuse -3 rate up rate down Reply
1 reply to toosmart4u's comment

Funny post for a liberal who won't think for himself, just follows Obama mindlessly.

December 08 2013 at 8:55 PM Report abuse +2 rate up rate down Reply

I just read in the Houston Chronicle that even jobs in the Oil and Gas Industry is slowing down, so just where are the jobs coming from, the low paying Holiday Retail jobs.

December 08 2013 at 7:54 PM Report abuse +4 rate up rate down Reply

Phony numbers raise more phony numbers.

December 08 2013 at 7:36 PM Report abuse +4 rate up rate down Reply