The Dow industrials ended slightly higher on Friday while the S&P 500 and the Nasdaq dipped as investors paused to consider conflicting signals in monthly U.S. jobs data. Investors also sold some recent winners to take some profits from the spring rally.
Trading was choppy as the stock market initially started higher and then drifted lower as investors reassessed the implications of the latest jobs report.
The Labor Department reported that employers cut 345,000 jobs in May -- substantially less than analysts had forecast -- but the U.S. unemployment rate hit 9.4 percent, its highest since 1983.
The data underscored that the U.S. economic picture remained uncertain even after some recent signs of improvement.
There was a mixed bag from the economic news, said Ryan Detrick, senior technical strategist at Ohio-based Schaeffer's Investment Research.
Initially people saw the 345,000 number and everyone got a little excited, then realized the unemployment rate was worse than expected, and there's the fact that it's Friday and the sellers took advantage to take some profits.
Investors opted to book profits from the market's recent winners -- materials, energy, financial and technology shares.
Shares of JPMorgan
The Dow Jones industrial average <.DJI> gained 12.89 points, or 0.15 percent, to 8,763.13. The Standard & Poor's 500 Index <.SPX> declined 2.37 points, or 0.25 percent, to 940.09. The Nasdaq Composite Index <.IXIC> dipped 0.60 of a point, or 0.03 percent, to 1,849.42.
On Nasdaq, Intel Corp
The semiconductor index <.SOXX> dropped nearly 2 percent.
Even so, those investors betting on a turnaround in global economic prospects snapped up shares of big manufacturers and exporters, including aircraft maker Boeing Co
Shares of Wal-Mart Stores Inc
As a discount retailer, Wal-Mart is one of the companies expected to thrive in a downbeat economy.
Despite a subdued session, all indexes registered their third straight weekly advance. The Dow rose 3.1 percent and the S&P 500 gained 2.3 percent, while the Nasdaq climbed 4.2 percent.
In its recovery from the 12-year closing low of March 9, the benchmark S&P 500 has gained nearly 40 percent.
Volume was moderate on the New York Stock Exchange, where about 1.26 billion shares changed hands, below last year's estimated daily average of 1.49 billion. On the Nasdaq, about 2.31 billion shares traded, above last year's daily average of 2.28 billion.
Despite the Dow's modestly higher finish, decliners slightly outnumbered advancers by 1,539 to 1,460 on the NSYE. On Nasdaq, about five stocks fell for every four that rose.
(Editing by Jan Paschal)