Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Why the Dow Jumped 147 Points Today

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Apparently, Wall Street still had some 4th of July jubilance left over from yesterday, as stocks surged to head into the weekend. Next week, markets will react to the beginning of earnings season, which unofficially kicks off on Monday, as well as jobless claims numbers and consumer sentiment. Friday, however, was all about jobs growth, which came in stronger than expected, as payrolls grew by 195,000 in June. The Dow Jones Industrial Average (DJINDICES: ^DJI  ) added 147 points, or 1%, to close at 15,135. 

Financials led the charge in the blue chip index, with American Express (NYSE: AXP  ) ending as the day's top performer on 2.3% gains. A strengthening labor market has obvious advantages to credit card companies: With more money to go around, America's consumer-driven economy has more discretionary income to spend on things like, I don't know, fireworks and burgers. (There might be some good deals on bottle rockets this weekend... just a guess.)

JPMorgan (NYSE: JPM  ) shares also rose 2.3% today, benefiting from the secular 1.5% gains in the financial sector. Aside from that, the $200 billion bank also saw charges against it thrown out by a district judge in a case alleging wrongdoing in foreign exchange, or FX, trading. The accusation that JPMorgan overcharged its currency-trading clients was dismissed for lack of evidence, giving investors one less potential litigation cost to worry about. 

Still, there were a few laggards in the index on Friday: three, to be exact. Cisco Systems (NASDAQ: CSCO  ) was one of those, barely ending in the red after posting 0.1% losses. It's not much of a slip, that's for sure, which is fitting, because there was no real negative news from the company. Today's minor blip doesn't change much about the networking giant's positioning as one of the dominant global innovators in technology, a fact the market has realized rather quickly as the stock ran up 45% in the last year.

Lastly, Procter & Gamble (NYSE: PG  ) shares shed 0.3% today. Despite trading at 18 times forward earnings -- a price some would consider expensive for a mature business like P&G -- the consumer-goods behemoth is currently offering a 3.1% dividend yield, a rate that can get some income investors' mouths watering. However, with interest rates rising today on the bet that the Fed's tapering may come sooner than expected, the stock is competing with bond investors seeking higher yields, and may see further falls as rates rise.

If you're on the lookout for high-yielding stocks, The Motley Fool has compiled a special free report outlining our nine top dependable dividend-paying stocks. It's called "Secure Your Future With 9 Rock-Solid Dividend Stocks." You can access your copy today at no cost! Just click here.

Read/Post Comments (1) | Recommend This Article (11)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On July 06, 2013, at 4:36 AM, chris293 wrote:

    Hey, you must be a sharp fool with that comment that earnings have seasons, I believe that go along usually with sales or holidays. Really, I like the idea of seasons, or the timing of different industries such as houses, steel, food(s), autos, shoes, or anything that has a better period of sales and profits. This in turn has an effect on what price the stocks will have. This can mean a low or high price of a stock. Maybe this is too oblivious, but always should be pointed out.

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2524862, ~/Articles/ArticleHandler.aspx, 8/24/2016 6:28:59 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 9 hours ago Sponsored by:
DOW 18,547.30 17.88 0.10%
S&P 500 2,186.90 4.26 0.20%
NASD 5,260.08 15.48 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

8/23/2016 4:33 PM
^DJI $18547.30 Up +17.88 +0.10%
AXP $65.68 Up +0.32 +0.49%
American Express CAPS Rating: ****
CSCO $30.98 Up +0.35 +1.14%
Cisco Systems CAPS Rating: ****
JPM $65.77 Down -0.03 -0.05%
JPMorgan Chase CAPS Rating: ****
PG $87.40 Up +0.55 +0.63%
Procter and Gamble CAPS Rating: ****