Stocks Tumbled at Open after Jobs Data

U.S. stocks opened sharply lower on Friday, with Dow industrials dropping more than 200 points as investors reacted to a disappointing jobs report that suggested the labor market had cooled off by the end of the summer. The Dow Jones Industrial Average lately dropped 215.53 points, or 1.32%, to 16,056.48. The S&P 500 fell 26.19 points, or 1.36%, to 1,897.63. The Nasdaq Composite was down 62.17 points, or 1.34%, to 4,564.92.

U.S. employers slammed the brakes on hiring over the last two months and wages fell in September, raising new doubts the economy is strong enough for the Federal Reserve to raise interest rates by the end of this year. Payrolls outside of farming rose by 142,000 last month and August figures were revised sharply lower to show only 136,000 jobs added that month, the Labor Department said on Friday.

U.S.interest rates futures rose sharply on Friday as weaker-than-expected jobs data in September led traders to speculate the Federal Reserve was unlikely to raise interest rates until early 2016.

Albertsons Cos., the U.S. supermarket chain with more than 2,000 stores backed by Cerberus Capital Management, said it plans to raise about $1.53 billion in an initial public offering. The sales will consist of 65.3 million shares at $23 to $26 each, according to a filing Friday with the U.S. Securities and Exchange Commission.

Sprint Corp. is preparing to cut as much as $2.5 billion in costs in the next six months, as the struggling wireless carrier steps up its belt-tightening.