Stocks retreated from all-time highs on Friday, as investors digested geopolitical updates and the Labor Department’s monthly jobs report. The Dow briefly breached the 29,000 level for the first time in early trading, but ultimately finished the session down 133 points to 28,823. The S&P 500 and the Nasdaq Composite both slipped 0.3%. Despite the session’s losses, the major averages ended the week higher. The Dow added 0.7%, while the S&P 500 gained 0.9%. The Nasdaq Composite advanced 1.8% for the week.
On the data front, U.S. non-farm payrolls rose by 145,000 in December, lower than the projected 160,000 uptick and easing from November’s downwardly revised 256,000 gain. The unemployment rate remained steady at 3.5%, and the annualized wage inflation notched the smallest gain since mid-2018. Treasuries advanced, with the yield on the 10-year note down five basis points to 1.82%. Investors also kept tabs on geopolitical updates, after the White House announced new sanctions on Iran in response to the missile strikes targeting U.S. military bases. In commodities, WTI crude fell 0.9% to $59.04/barrel to cap its worst week since July.
Ten of 11 S&P 500 sectors ended in negative territory, with just the Health Care group bucking the downward trend. In corporate news, KB Homes lost 3.1% after the homebuilder’s revenue in the most recent quarter disappointed relative to analysts’ forecasts. Intuitive Surgical advanced 2.1% after its preliminary quarterly profit tally exceeded Wall Street expectations. Boeing fell 1.9% after internal messages surfaced showing workers disapproved of the development of the currently grounded 737 Max planes.