Stocks open higher after jobs report shows gain

Stocks open higher after jobs report shows that hiring held up in December

Associated Press
Stocks gain, pushing the S&P 500 to 5-year high

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In this Friday, Dec. 28, 2012, photo, a trader works on the floor at the New York Stock Exchange in New York. Wall Street stocks tumbled on Thursday Jen. 3. 2013 after a transcript of the last meeting of the U.S. Federal Reserve unveiled a divided opinion among central bankers over how long the Fed should keep buying bonds to support the economy. (AP Photo/Seth Wenig)

NEW YORK (AP) -- Stocks edged higher in early trading Friday after a U.S. government report showed that hiring held up in December.

The Dow Jones industrial average was up six points to 13,399 as of 10:06 a.m. EST. The Standard and Poor's 500 index rose two points to 1,461. The Nasdaq composite fell seven points to 3,094.

The Labor Department said U.S. employers added 155,000 jobs in December. It also said hiring was stronger in November than first thought. The unemployment rate held steady at 7.8 percent.

Stocks have surged this week after lawmakers passed a bill to avoid a combination of government spending cuts and tax increases that had been set to take place Jan. 1. The law passed late Tuesday night averted that outcome, which could have pushed the economy back into recession.

The Dow is already up 2.3 percent for the year and the S&P 500 has advanced 2.6 percent.

Among stocks making big moves, Eli Lilly and Co. rose $1.83 to $51.59 after saying that its earnings will grow more than Wall Street expects, even though the drug maker will lose U.S. patent protection for two more product types this year.

Walgreen Co., the nation's largest drugstore chain, fell 43 cents to $37.35 after the company said that a measure of revenue fell more than analysts had expected in December, even as prescription counts continued to recover.

The 10-year Treasury note fell, pushing up its yield. The yield on the 10-year note gained 1 basis point to 1.92 percent.

Other notable stock moves;

Accuray Inc. plunged $1.50 to $5.21 after the radiation oncology equipment company reported weak sales and said it would cut 13 percent of its staff.

Lululemon, a yoga apparel maker, dropped $4.20 to $70.89 after Credit Suisse predicted slowing momentum and downgraded its stock.

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