Stocks Saw Weekly Losses

U.S. stocks closed with broad losses on Friday after a gloomy jobs report strengthened the case the economy was slowing. The Dow Jones Industrial Average closed down 97.29 points, or 0.79%, to 12,151.26. The S&P 500 lost 12.78 points, or 0.97%, to 1,300.16. The Nasdaq Composite fell 40.53 points, or 1.46%, to 2,732.78. For the week, the Dow average lost 2.3%, its fifth straight week of losses, for its longest loss streak since 2004. The S&P 500 and Nasdaq also lost 2.3%.

The Labor Department’s jobs report on Friday was the latest in a series of disappointing economic data. The U.S. added 54,000 jobs in May, the fewest in eight months. During the previous three months, the economy added an average of 220,000 jobs per month.

Manufacturers cut 5,000 jobs, retailers slashed 8,500 positions and leisure and hospitality businesses dropped 6,000 jobs. Lackluster hiring could mean fewer drivers on the road and gasoline consumption may continue to slide this summer.

Fiat’s purchase of the U.S. government’s ownership stake in Chrysler Group LLC resolves one thorny political issue. Another lies ahead: Where to base the combined company.

The U.S. services sector grew at slightly faster pace in May compared to the prior month, according to a survey of senior executives.  The Institute for Supply Management on Friday said its services index rose to 54.6% last month from 52.8% in April. Readings over 50% indicate more firms are expanding than contracting.

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