US open: Markets on the rise as rate of job creation beats analysts' expectations

Markets were up on Friday as growth in US non-farm payrolls exceeded analysts' projections in November.

The US jobs report called attention to what was a strong month of job creation. Non-farm payrolls expanded by 321,000, beating expectations of a 230,000 rise to register the largest monthly gain since January 2012.

According to chief economist at Markit Chris Williamson, “Policymakers will no doubt be minded that, with job creation as strong as this and wages picking up, the economy looks increasingly able to withstand a modest tightening of policy.”

“On the other hand, the lack of any significant wage growth points to a benign inflation outlook, which in turn suggests there remains no immediate rush to hike rates.”

Capital Economics argued that the gains indicate “the Fed will begin to hike interest rates as soon as March next year.”

Alpari UK research analyst Joshua Mahony added: “Now all eyes turn to Janet Yellen and the FOMC, who are likely to be increasingly hawkish after today’s release, with the one thorn in their side coming in the form of continued downside in oil prices.”

The Dow Jones Industrials, S&P 500 and Nasdaq were advancing early on in the day, while West Texas Intermediate and Brent crude futures were both falling.

Over on COMEX, gold futures were also declining 1.13% to $1,194. The dollar was advancing against the pound, the yen and the euro early on Friday.

Meanwhile in company news, oil and gas firms Chevron and Exxon were still in decline as oil prices continued to drop.

Discount retailer Big Lots shares plummeted despite the company positing a third straight quarter of same-store sales growth and having guided analysts higher for the fourth quarter.