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The Markets Now: Dow, S&P Hit New Highs on Employment Report

By: Minyanville
Posted: 5/3/2013 12:27:00 PM
Referenced Stocks: AIG;AMD;EMC;F;GILD

Stocks have climbed higher after nonfarm employment payrolls increased more than expected in April. The Dow (INDEXDJX:.DJI) reached a new intraday record, crossing above 15,000 for the first time earlier in the trading session. Currently, the index has increased 1.02% to 14,983.46. The S&P 500 (INDEXSP:.INX) also hit a new intraday record, reaching above 1,600. The index has climbed 1.15% to 1,615.94, and the Nasdaq (INDEXNASDAQ:.IXIC) rose 1.31% to 3,384.27 .

The Bureau of Labor Statistics reported today that total nonfarm payroll employment increased by 165,000 in April, and the unemployment rate ticked down from 7.6% to 7.5%. The unemployment rate has dropped 0.4% since January, and unemployment has decreased by 637,000 since January. The labor force participation rate remained at 63.3%. March's 88,000 figure was revised up to 138,000. Read the press release here .

The Institute for Supply Management, or ISM, reported today in its Non-Manufacturing ISM Report on Business that its Non-Manufacturing Index, or NMI, decreased 1.3% from 54.4% in April to 53.1% in March. A reading over 50 indicates growth. The Non-Manufacturing Business Activity Index fell 1.5% from 56.5% in March to 55% in April. The New Order Index decreased 0.1% month-over-month to 54.5% in April, and the Employment Index fell 1.3% month-over-month to 52% in April. Read the press release here .

The US Census Bureau reported today that new orders for manufactured goods fell $19.5 billion, or 4%, month-over-month to $467.3 billion in March. Excluding transportation, new orders fell 2%. Read the full report here .

Gilead Sciences ( GILD ) spiked 6.32% to $55.48. Yesterday, the world's largest maker of AIDS medicines reported a first-quarter net income of $722 million, or $0.43 per share, compared to $442 million, or $0.28 per share, in the prior-year quarter. Excluding some items, the company earned $0.48 per share. Revenue increased 11% year-over-year to $2.53 billion.

American International Group ( AIG ) rose 5.63% to $44.50. AIG has invested $2.3 billion of its available cash into "high quality fixed-maturity securities with a duration of just over three years." The bonds have a yield rate of over 1%.

Ford ( F ) increased 2.87% to $13.80.

EMC Corporation ( EMC ) climbed 2.23% to $23.39.

Advanced Micro Devices ( AMD ) jumped 9.09% to $3.72.

Twitter: @ChrisWitrak