Stocks Opened Higher after Jobs Report

U.S. stocks opened higher on Friday after a key report showed the U.S. economy added slightly fewer jobs than expected in August, making it potentially less likely that the Federal Reserve will raise interest rates already this month. The Dow Jones Industrial Average lately advanced 121.11 points, or 0.66%, to 18,540.41. The S&P 500 rose 12.24 points, or 0.56%, to 2,183.10. The Nasdaq Composite rose 24.98 points, or 0.48%, to 5,252.18.

U.S. employment growth slowed more than expected in August, which could effectively rule out an interest rate increase from the Federal Reserve this month. Nonfarm payrolls rose by 151,000 jobs last month after an upwardly revised 275,000 increase in July, with hiring in manufacturing and construction sectors declining, the Labor Department said on Friday.

The U.S. trade deficit fell in July as imports declined slightly and exports rose to the highest level in 10 months, a possible sign that global demand for American products is starting to rebound.

Oil edged higher on Friday, supported by the previous session’s weakness in the U.S. dollar and Russian comments in favor of a production freeze. Global benchmark Brent futures were up 42 cents at $45.87 a barrel by 1037 GMT. U.S. West Texas Intermediate crude futures were up 37 cents at $43.53 a barrel.

Primavera Capital Group and Ant Financial Group have agreed to invest $460 million in Yum China once Yum! Brands Inc.’s spin off of the unit is completed on Oct. 31, the company said on Friday. The deficit declined to $39.5 billion, 11.6 percent lower than June’s $44.7 billion deficit, the Commerce Department reported Friday.