Stocks jump after yields pull back on soft jobs data, Nasdaq rises to record led by Nvidia: Live updates

Stocks jumped Friday, as yields retreated following a surprisingly weak jobs report that raised hopes the Federal Reserve will hold rates steady in October.

The Dow Jones Industrial Average rose 300 points, or 0.6%. The S&P 500 gained 1%, while the Nasdaq Composite climbed 1.6% to a new all-time high.

Treasury yields fell Friday, with the 10-year yield dropping more than 5 basis points to 5.176%. The 2-year yield slid more than 3 basis points to 4.75%. One basis point is equal to 0.01%, and yields and prices move in opposite directions.

Tech stocks rallied as risk-taking resumed on Wall Street, with shares of Nvidia hitting an all-time high for the first time since May. CrowdStrike, Palo Alto Networks and AMD also all rose to all-time highs. Meanwhile, shares of Intel and AMD also jumped more than 3% each.

September's nonfarm payrolls report showed the U.S. economy added 29,000 jobs last month, with unemployment rising to 4.2%. The Dow Jones consensus called for jobs growth of 84,000 and for the unemployment rate to hold steady at 4.1%.

"This is the exact kind of number the market wanted from a labor standpoint," said Phil Blancato, chief market strategist at Osaic. "Not too hot, not too cold... not overly great, and not weakening."

That number made traders reassess the next move for the Federal Reserve. Fed funds futures trading suggests an 86% likelihood the central bank will stand pat at this month's meeting, up from a roughly 76% chance just the prior day, according to the CME FedWatch Tool.

Saira Malik, chief investment officer at Nuveen, told CNBC's "Squawk Box" that the report may give the market support before earnings season kicks off, which she thinks will be "very strong."

"So, I think this could be the start of the Santa Claus rally that we've all been hoping for," she said.

Oil prices dropped sharply from their highs, supporting equities, following a report that European nation states are considering a release of strategic fuel reserves following pressure from the Trump administration.

Investors are coming off a modestly higher session Thursday, to start off the month of October. However, the Dow and the S&P 500 were headed for weekly losses amid a global bond rout, while the Nasdaq was the only major average on pace to end the week with gains.

— CNBC's Jeff Cox contributed to this report

Nvidia popped on Friday, briefly hitting an all-time intraday high.

Shares of the semiconductor firm rose more than 3% to as much as $237.88 on the day. At its peak, the stock traded at its highest intraday level ever.

Nvidia's shares began trading on the public market in January 1999.

Revisions in the September jobs report for July and August are making those months look weaker for job creation.

July was marked down by 31,000 to mark a net job loss of 10,000 on the month, the Labor Department reported Friday. August was marked down by 29,000 for a new total of 133,000 compared to the initial robust report of 162,000.

"Revisions made both July and August look weaker, too. Over the past 3 months, we've an average of a mere +17k per month," economist Justin Wolfers wrote on social media.

The Dow Jones Industrial Average rose 322 points, or 0.6%. The S&P 500 gained 0.8%, while the Nasdaq Composite climbed 1.1%.

The latest fed funds futures trading showed an 86% likelihood that the Federal Reserve will hold rates steady when it convenes for its Oct. 27-28 meeting, according to the CME FedWatch Tool. That's up from a roughly 76% chance just one day prior.

The U.S. economy added 29,000 jobs and the unemployment rate increased to 4.2 percent in September as job creation slowed substantially during the month, the Labor Department reported Friday.

Economists were expecting 84,000 new payrolls and the unemployment rate to hold steady at 4.1%.

Here are some of the names moving premarket:

Click here to see more stocks making moves.

Shares for Seagate Technology and Western Digital slipped over 10% and 8% respectively after Toshiba announced plans to double its production capacity for hard disk drives used in data centers, according to a Nikkei report.

The Japanese company plans to invest $380 million to expand facilities in the Philippines, signaling Toshiba's first major hard disk drives investment in about five years, Nikkei reported.

Toshiba, along with Seagate Technology and Western Digital, are the top competitors in the hard disk drives market.

Morgan Stanley put Nvidia back atop its list of semiconductor stocks on Friday, touting the company's range of customers and the importance of graphics processing units (GPUs) to agentic artificial intelligence.

"While 90% of investor conversations are around the biggest hyperscalers and frontier model companies, half of the business - probably the faster growing half - is a broader range of AI model companies, Neoclouds, sovereign entities, ODMs and OEMs, and enterprise customers," Joseph Moore at Morgan Stanley wrote in a Friday note to clients.

Moore has an overweight rating on the stock with price target of $300 and an "industry view" listed as "attractive."

With its numerous backstopping and vendor agreements during the AI boom, Nvidia has faced criticism for being involved in circular financing during the AI buildout, which interlinks Nvidia's investments with its eventual revenue streams.

Oil prices fell more than 2% on Friday morning, extending losses from earlier in the session, following reports of a potential European move to release diesel and crude stocks to ease a global supply shortage

International benchmark Brent crude futures with December expiry traded 2.5% lower at $99.78 per barrel, while U.S. West Texas Intermediate futures with November expiry fell nearly 3.8% to $89.40.

It comes shortly after Reuters reported that European Union member states were discussing a French proposal to release additional diesel reserves following pressure from the Trump administration.

Moderna will replace Warner Bros. Discovery in the tech-heavy blue-chip Nasdaq 100 index after the biotech's shares have risen nearly sixfold over the past year.

The change will take effect before the market opens on Oct. 9, the stock exchange said in a statement late Thursday.

Shares of Moderna rose 2.4% in premarket trading, adding to a 563% gain over the past 12 months.

The company, which became a household name after it developed one of the first vaccines for Covid-19, surprised the Street last month when an experimental personalized cancer vaccine co-developed with Merck showed positive initial results in its first-ever late-stage trial.

Meanwhile, Warner Bros. is in the process of merging with Paramount Skydance. Paramount has said the merger will close on Oct. 6.

European government bond yields fell on Friday, as they headed for the end of a volatile week that saw yields on various regional securities hit multi-decade highs.

By 9:15 a.m. in London (4:15 a.m. ET), yields on British and German 10-year government bonds were around 7 basis points lower. Their Italian counterparts saw yields move 4 basis points lower, while 10-year bonds issued by France and Switzerland saw yields fall by 2 basis points.

The pan-European Stoxx 600 added 0.3% in early morning trading, with tech stocks leading gains.

Germany's DAX index, up 0.3%, led gains among major regional bourses.

Asian stocks closed mixed on Friday. Japan's Nikkei 225 lost 0.94% to 68,309.46, while the Topix closed 0.99% lower at 4,091.

South Korea's Kospi rose 0.46% to 7,003.74, while the small-cap Kosdaq slid 0.11% to 893.29.

Australia's S&P/ASX 200 added 0.79% to 8,682.1.

Hong Kong's Hang Seng index was 2.8% lower in its last hour of trade.

Mainland China markets were closed for a holiday.

Volvo Cars shares are down by more than 5% in premarket trading after the Swedish automaker flagged an increasingly challenging market situation and deteriorating near term outlook, which have hit cash flow and sales volumes.

The group told investors it would not fulfil its previous full-year outlook statements, with lower-than-expected sales and a weaker full year outlook for the company.

"The decline is primarily driven by further deteriorating market conditions in China and slower than expected recovery in the US, while Europe remains resilient," Volvo said.

Brazilians vote on Oct. 4 in the first round of a closely watched presidential election, with incumbent Luiz Inácio Lula da Silva and Sen. Flávio Bolsonaro dominating the polls.

The result could influence Brazil's relationships with the U.S. and China, including over trade and access to critical minerals, as Bolsonaro emphasizes alignment with Washington while Lula stresses Brazilian sovereignty.

Approximately $1.1 million of the nearly $388 million stolen from crypto exchange Bitget in last week's cyberattack has been frozen, as the platform continues efforts to trace and recover the assets.

Frozen assets had not necessarily been returned to the exchange, CEO Gracy Chen told CNBC in an email interview. She did not disclose how much had been recovered.

Speaking on CNBC's "Squawk Box Europe" on Wednesday, Chen said she was "not expecting to recover a lot of funds," citing the limited recovery from previous cryptocurrency exchange hacks. However, "exchanges have a responsibility to demonstrate how they protect users, particularly when something goes wrong," she said.

U.S. Treasury yields rose on Friday, reversing some of the previous session's declines as longer-dated borrowing costs remained near multi-decade highs.

The benchmark 10-year Treasury yield climbed 1.8 basis points to 5.252%, while the 30-year Treasury yield rose 2.6 basis points to 5.629%.

Treasury yields had eased Thursday after their recent surge, with investors continuing to weigh the outlook for the U.S.-Iran conflict and its potential implications for inflation and interest rates. Yields move inversely to prices.

The U.S. Securities and Exchange Commission has proposed new rules that would make it easier for investment advisers and regulated funds to hold cryptocurrencies on behalf of clients, as U.S. regulators push ahead with writing crypto rules after a sweeping legislation stalled in Congress.

The proposal, announced Thursday stateside, would establish a tailored framework governing how registered investment advisers, investment companies and business development companies hold custody of crypto assets.

The changes are aimed at modernizing decades-old custody requirements and removing regulatory barriers that the SEC says have limited advisers' ability to offer crypto-related investments.

Under the proposed rules, crypto assets could be held in self-custody under "certain circumstances," while state trust companies could also serve as custodians for crypto assets belonging to clients and regulated funds.

Oil extended gains Friday, as traders continue to assess Mideast developments following a report the U.S. is sending a third aircraft carrier strike group to the Middle East.

Futures for international benchmark Brent crude for December delivery gained 0.33% to $102.65 a barrel. U.S. West Texas Intermediate futures for June advanced 0.17% at $93.03 per barrel.

According to the Wall Street Journal, Marine Corps ships and up to 10,000 additional troops are also being deployed to the region. The forces are expected to arrive by the end of November, WSJ said, citing officials.

Oil prices could go even higher, as tensions between the U.S. and Iran continue to simmer. "From a trading standpoint, you're unlikely to get a $15 drop in crude oil. It's a higher chance you get a $15 move up," said Simon Lack, portfolio manager of Catalyst Energy Infrastructure Fund on Thursday.

"The Iranians, even though all of their offensive capabilities are taken out, they seem to find ways to fire missiles, and they could start hitting infrastructure again along the Persian Gulf," Lack added.

Asia-Pacific stocks opened mixed on Friday, after closing broadly higher in the previous session as Mideast energy worries dent sentiment.

Japan's Nikkei 225 declined 1.06%, after rising sharply on Thursday. The Topix was down 0.87%. South Korea's Kospi lost 0.33%, while the small-cap Kosdaq added 0.89%.

Australia's S&P/ASX 200 was up 0.36% at the open.

Asian stocks were poised to open mixed on Friday as a surge in oil prices on renewed U.S.-Iran tensions stoked fresh inflation concerns.

Japan's Nikkei 225 was set to open lower, with its Chicago and Osaka futures contracts last at 68,410 and 68,460 respectively, compared with the index's previous close of 68,956.72.

Futures for Australia's S&P/ASX 200 last traded at 8,678 compared with the index's previous close of 8,614.4.

Futures for Hong Kong's Hang Seng index stood at 24,422, lower than its last close of 24,613.27.

Mainland China markets will remain closed for a holiday.

Investors will also continue to keep an eye on the bond markets after U.S. Treasurys rebounded.

Seeds and genetics company Vylor was added to the S&P 500 on Thursday after it was spun off from Corteva the same day. The company replaced Corteva, which will move to the S&P MidCap 400.

Twilio, which provides a customer engagement platform, will replace Warner Bros. Discovery in the S&P 500 on Oct. 6. This comes as Paramount is set to acquire Warner Bros. Discovery soon following a California judge's order on Wednesday.

Shares for Twilio popped over 1% in extended trading. Meanwhile, Vylor shares were last up 3%. 

Shares for Nike fell over 6% in extended trading after the company posted lackluster sales in the fiscal first quarter and announced plans for layoffs. 

Nike earned 48 cents per share on revenue of $11.21 billion, compared to the LSEG consensus estimate of 43 cents per share and $11.32 billion. Sales were down 4%, with the company citing declines in its China business.

For its full-year outlook, the company expects revenue to decline by a high-single digit percentage in fiscal 2027. 

Nike also announced a restructuring plan, which is expected to lead to layoffs starting in 2027. The company did not specify how many jobs would be cut.

U.S. equity futures were little changed on Thursday evening. Futures tied to the Dow Jones Industrial Average gained 10 points, or 0.02%. S&P 500 futures rose 0.03% and Nasdaq-100 futures climbed by 0.07%.