Banks lead financials higher on job data

SAN FRANCISCO (MarketWatch) � U.S. financial stocks rose to lead the broader market higher Friday as positive jobs data indicated a sustained recovery in the U.S. employment picture.

Click to Play

Jobs report lifts stocks

Stocks open modestly higher, with investors buoyed by upbeat news on jobs and the Greek debt restructuring, though gains were tempered by disappointing trade deficit data, Laura Mandaro reports on Markets Hub. (Photo by Andrew Burton/Getty Images)

Earlier gains, however, pared after the International Swaps and Derivatives Association declared a �credit event� that will trigger default insurance taken out on Greek sovereign debt. Read more on ISDA, Greek restructuring.

Bank stocks slightly outperformed other sector firms. Shares of First Horizon National Corp. FHN �led the way, closing up 4.5%. Shares of Citigroup Inc. C �rose 0.6% and Dow component J.P. Morgan Chase & Co. JPM �advanced 1.5%.

The Financial Select Sector SPDR ETF XLF , which tracks the financial stocks in the S&P 500 SPX , rose 0.8%, for a weekly gain of 0.2%. The KBW Bank Index BKX , which follows the 24 leading U.S. banks, rose 1%,! for a w eekly gain of 0.3%.

Of the 10 sectors in the S&P 500, financial stocks turned in the best overall performance Friday.

On the data front, 227,000 U.S. jobs were created in February and more people found work in the prior two months than previously reported, suggesting the economy�s recent momentum is likely to continue, according to the latest government data.

The increase in nonfarm jobs topped 200,000 for the third straight month and reinforces the view of an economy gathering strength as 2012 unfolds. The past three months of full-time job growth is the fastest since the end of the 2007-2009 recession and marks the best performance since early 2006.

The unemployment rate, meanwhile, was unchanged at 8.3%, largely because nearly half-a-million workers reentered the labor force in search of jobs. That�s usually a good sign because it means people believe more work is available. Read more about the jobs report on MarketWatch

Among other the financial stocks in the Dow Jones Industrial Average DJIA , Bank of America Corp BAC �shares closed down 0.1%, shares of American Express Co. AXP �advanced 0.5%, and Travelers Cos. TRV �shares tacked on 0.9%.

Other notable gainers included Federated Investors Inc. FII , Lincoln National Corp. LNC , Principal Financial Group Inc. PFG , along with the regional bank sector with Zions Bancorp ZION , Fifth Third Bancorp FITB , U.S. Bancorp USB , and Comerica Inc. CMA �all trading up 1% or more.

Related Articles:

Small-Cap Stocks DNDN, ENER and FEED Continue to Charm Investors

Well Traded Stocks at NASDAQ � QQQQ, JOYG, AAPL, QCOM

Tags: 2015 UnderValue Stocks ,DNDN ,ENER ,FEED ,Hot Stocks To Buy 2015 ,Hot Stocks To Invest In ,Hot UnderValue Stocks To Invest In ,Top Dividend Stocks 2012

No comments:

Post a Comment