Investing.com -- U.S. stocks staged a dramatic comeback on Friday afternoon rallying from severe losses earlier in the session, following a disappointing U.S. jobs report for the month of September.
On Friday morning, the U.S. Department of Labor's Bureau of Labor Statistics said non-farm payrolls for the month of September increased by 142,000, significantly below consensus estimates from analysts of a 203,000 gain. The figure also fell well below low end of estimates of a 180,000 increase. The unemployment rate and average hourly wages remained unchanged from their August level, while the labor participation rate fell by 0.2% to 62.4%, providing indications of a shrinking labor market.
Stocks initially fell sharply after the release before moving steadily upward, as a host of multinational conglomerates capitalized on a weaker dollar. After falling by more than 250 points at one point in Friday's session, the Dow Jones Industrial Average rebounded to close at 16,472.37, up 200.36 or 1.23% on the session. It marked the biggest reversal on the Dow in more than four years. The NASDAQ Composite index also rallied considerably, amid a surge in energy stocks, as it closed on Friday at 16,472.37, up 80.70 or 1.74% to 4,707.78.
The S&P 500 Composite index, meanwhile, added 27.54 or 1.43% to 1,951.36, as all 10 sectors closed in the green. Stocks in the Energy, Basic Materials and Health Care sectors led, each gaining at least 2% on the day. The S&P 500 closed higher for the fourth consecutive session.
The top performer on the Dow was Chevron Corporation (NYSE:CVX), which gained 2.98 or 3.80% to 81.32. On Friday afternoon, U.S. crude futures closed 2% higher after a report indicated that oil rigs nationwide fell to their lowest level in more than five years last week. The worst performer was JPMorgan Chase & Co (NYSE:JPM), which dipped 0.79 or 1.29% to 60.63. JPMorgan Chase was one of only two Dow components to close in the red.
The biggest gainer on the NASDAQ was Wynn Resorts Limited (NASDAQ:WYNN), which surged 11.87 or 22.95% to 63.58, as gaming revenues in Macau fell at a slower pace last month than expected. Though gross gaming revenues on the Chinese resort fell by 33% in September, it was lower than analysts anticipated and far below the 49% decline reported in February. The worst performer was American Airlines Group (NASDAQ:AAL), which lost 0.67 or 1.71% to 38.53.
Wynn was also the top performer on the S&P 500, just ahead of Murphy Oil Corporation (NYSE:MUR), which gained 2.28 or 9.64% to 25.93. The worst performer was the CME Group a (NASDAQ:CME), which lost 3.45 or 3.68% to 90.33. Earlier, the CME Group reported that its volume last month averaged 14.1 million contracts a day, down approximately 7% from its average volume in September, 2014.
On the New York Stock Exchange, advancing issues outnumbered declining ones by a 2,302-802 margin.