by Marc Bastow | May 4, 2012 4:50 pm
Investors took it on the chin Friday as a disappointing jobs report sent the markets down to the canvas, where they never recovered.
The Dow Jones Industrial Average ended the day down 1.27% at 13,038, with the S&P 500 falling 1.61% to 1,369, and the tech-heavy Nasdaq taking a powder at 2,956, down 2.25%.
More than half the Dow components took plunges of 1% or worse on the day, with Bank of America (NYSE:BAC) shedding 3% on news that the company will cut 2,000 jobs. JPMorgan Chase (NYSE:JPM) followed its banking neighbor down 2.93%.
The Labor Department showed 115,000 new jobs created in April, a far cry from the 160,000 jobs forecast by economists, and well behind revised March numbers of 154,000. Meanwhile, the unemployment rate fell to 8.1% as 342,000 workers dropped out of the labor force. At this point, the portion of the working-age population participating in the job market is 63.6%, the lowest level since 1981.
Oil prices dipped below $100 per barrel and the average price of gas at the pump now stands at $3.80. Lower demand and stability in Iran contributed to the fall, a welcome sight heading into the summer season.
LinkedIn (NYSE:LNKD) announced on Thursday that its net income and revenues jumped in the first quarter. LinkedIn also said that it had agreed to buy SlideShare, a business content sharing site, for about $119 million. LNKD was up sharply on the news, rising 7% to $119, one of the few good-news moves of the day.
Marc Bastow is an Assistant Editor at InvestorPlace.com. As of this writing, he did not hold a position in any of the aforementioned securities.
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