US stock market rises: Jobs report lifts sentiment; tariff ruling awaited

The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite ended higher as investors reacted to fresh economic data and ongoing policy uncertainty. The gains were limited but steady, showing that markets are moving forward with caution rather than strong risk-taking. The S&P 500 rose about 0.3%, while the Nasdaq Composite posted a similar increase. The Dow Jones Industrial Average added close to 100 points.

The December jobs report showed that nonfarm payrolls increased by around 50,000. This was lower than market expectations, but it still pointed to continued job creation. At the same time, the unemployment rate fell to 4.4%, which was better than forecast. Investors saw this as a sign that the labor market is slowing without weakening sharply. The latest data suggested neither extreme, helping to calm investors. Economists said job growth slowed through late 2025 due to trade uncertainty, climate-related disruptions, and changes in technology that affect hiring. Even so, wages continued to rise and large layoffs were limited. These factors helped support consumer spending and kept confidence in the broader economy intact.

For the week, the Dow Jones Industrial Average led gains, rising by about 2%. The S&P 500 and Nasdaq Composite were each up more than 1%. Investors continued to focus on companies with stable earnings and strong balance sheets. While the main indexes moved in narrow ranges, several individual stocks saw sharp gains. Technology and energy-related companies performed well, showing that investors are rotating money into select sectors.
Markets are also watching the Supreme Court, which is reviewing tariffs imposed during the Trump administration under emergency powers. The decision could have a major impact on US trade policy and business costs. If the court overturns the tariffs, companies could seek large refunds and benefit from lower import costs. This would likely help sectors such as retail, consumer goods, and technology. If the tariffs are upheld, higher trade costs may continue, which could slow hiring and investment. The case comes at a time of wider geopolitical tension, including issues in the Middle East that affect oil prices and global risk sentiment. These factors add to market uncertainty and keep investors cautious.