Stocks ended the week on a high note- with both the Dow and the S&P at records, after a strong jobs report. Bobbi Rebell reports.
A rally in bank stocks fueled the Dow and S&P to all-time highs, stretching their win streak to seven weeks- the Dow getting close to the 18,000 level. For the week, stocks mostly higher- with the Nasdaq taking a small step backwards. Helping lift financial shares: a stunningly strong jobs report. Employers added 321,000 jobs last month as the economy entered the holiday season. That was way higher than expected. John Silvia at Wells Fargo says that pace of job growth is not sustainable, but he's encouraged by the strong gains in wages. SOUNDBITE: JOHN SILVIA, MANAGING DIRECTOR AND THE CHIEF ECONOMIST, WELLS FARGO (ENGLISH) SPEAKING: "Not only more jobs are being created, but the compensation is higher associated with that, particularly, again, some of these skilled areas, such as information, finance, education and health. Those wage gains were pretty significant." A nightmarish week for teen retailers. American Eagle Outfitters' income fell for the fifth straight quarter. Slammed by weak mall traffic and online competition, the apparel chain said it'll close 150 stores. At least three brokerages slashed their price targets on Five Below after it cut its full-year sales forecast. And Delia's warned it will soon file for bankruptcy protection, sending its shares into free fall. Relieved investors bid up JPMorgan Chase. An internal memo seen by Reuters said tests showed CEO Jamie Dimon was clear of cancer. He had ended treatment a few months ago after being diagnosed with throat cancer. Google shares fell after Bank of America Merrill Lynch downgraded its shares to neutral from buy. Fiat Chrysler added on to its sharp gains earlier this week when it reported strong sales. The Italian automaker launched a share offer and a $2.5 billion convertible bond. The proceeds will go toward cutting its debt and investing in its Jeep, Maserati and Alfa Romeo brands. In Europe, the bullish U.S. jobs report and a surge in German industrial orders sent investors shopping for stocks, pushing the DAX to a record high.