Wall Street opens higher as Nasdaq 100 gains 2.10% after October payrolls

US stocks traded higher at the open on Friday, November 6, with the S&P 500 at 7415.74 at 09:45 New York time. The Nasdaq 100 led with a gain of 2.10%.

What happened

The S&P 500 stood at 7415.74, up 62.01 points, or 0.84%, from the previous close of 7353.73. The Nasdaq 100 stood at 27188.1, up 558.29 points from 26629.81.

The CBOE Volatility Index stood at 24.75 in intraday trading, down 3.43 points, or 12.17%, from its previous close of 28.18.

The October jobs report was released at 13:30 UTC. Non farm payrolls rose by 165K against a 65K estimate, with the previous reading at 60K. Private payrolls rose by 159K against a 64K estimate, with the previous reading at 78K.

The unemployment rate was 4.1% against a 4.2% estimate, down from 4.2% previously. The broader U-6 rate was 7.9% against a 7.6% estimate, up from 7.6% previously.

Why it matters

The Nasdaq 100 gain of 2.10% is more than double the 0.84% rise in the S&P 500, so the move in the technology-heavy index is stronger at this point in the session. The VIX decline of 12.17% sits alongside the rise in both equity indexes.

The two unemployment measures moved in opposite directions: the headline rate fell to 4.1%, while U-6 rose to 7.9%.

Two companies also reported before the market opened. Charter Communications posted EPS of -20.5 USD against an 8.9 USD estimate, and revenue of 14.92 billion USD against a 13.5 billion USD estimate. Franklin Resources reported EPS of 0.94 USD against a 0.77 USD estimate, and revenue of 2.43 billion USD against a 1.86 billion USD estimate.

For investors, the session opens with a strong jobs print, a lower VIX and gains in both major indexes, while the two unemployment gauges give a mixed picture of the labor market.

What to watch next

The next scheduled item is the Michigan Consumer Sentiment reading for November, due at 15:00 UTC. The estimate is 48, the same as the previous reading of 48. The figure had not been published at the time of writing.

The session on the New York Stock Exchange runs until 16:00 New York time, so the index levels above are early readings and can change through the day.