U.S. stocks traded sharply higher Wednesday, with the Dow Jones Industrial Average leaping 150 points, as more jobs were created in the private sector last month. Meanwhile, market professionals continued to eye ongoing bailout negations between Greece and its European creditors.
The Nasdaq composite traded above its record closing high of 5,106.59.
In morning trading, the Dow Jones Industrial Average (INDEXDJX:.DJI) leaped 150.37 points, or 0.83 percent, to 18,162. The Standard & Poor's 500 (INDEXNASDAQ:.IXIC) added 11.17 points, or 0.53 percent, to 2,121. The Nasdaq composite (INDEXSP:.INX) gained 36.69 points, or 0.72 percent, to 5,113.54.
U.S. private employers added 201,000 jobs in May, boosted by the service sector, the monthly ADP National Employment Report showed. The report is a widely used pre-indicator for the U.S. labor market ahead of Friday's jobs report.
Economists had forecast U.S. private employers would add 200,000 positions in May after fewer jobs were created in the private sector in April (169,000), according to analysts polled by Thomson Reuters.
Separately, U.S. crude inventories fell for the fifth consecutive week as crude stockpiles fell by 1.9 million barrels in the week ending May 29 to a total of 477.4 million barrels, the U.S. Energy Information Administration said Wednesday.
Following the report, West Texas Intermediate crude, the benchmark for U.S. oil prices, edged down 0.7 percent to $60.83 a barrel, for July 15 delivery on the New York Mercantile Exchange. Brent crude, the benchmark for global oil prices, fell around 1 percent to $64.87 a barrel, for July 15 delivery on the London ICE Futures Exchange.
Investors are keeping a close eye on Greece after the country threatened to miss its loan repayment this week to the International Monetary Fund, just hours before European Union creditors were expected to present an ultimatum offering Athens funds in return for economic reform, Reuters reported.
Gains in the Dow were across multiple sectors, with Microsoft Corporation (NASDAQ:MSFT) leading the blue-chip index higher, adding 1.6 percent.
Dow Components JPMorgan Chase & Co. (NYSE:JPM) and Goldman Sachs Group Inc. (NYSE:GS) both gained 1.5 percent. Meanwhile, Home Depot Inc. (NYSE:HD), the world's No. 1 home-improvement retailer, also gained 1.5 percent.
Shares of Synchronoss Technologies Inc. (NASDAQ:SNCR) soared 18 percent Wednesday following a report the wireless-software company is exploring a sale, valued at more than $2 billion, the Wall Street Journal reported. The tech company is working with investment bank Qatalyst Partners on the deal, and has already "drawn interest from a number of private-equity firms," the report said.