Markets Gain as Job Growth Eases, Trump Engages with Energy Leaders

U.S. equity markets closed higher on Friday, driven by a softer jobs report that suggested potential easing in labor market pressures. The Labor Department reported that nonfarm payrolls grew by just 134,000 in December, well below the expected 180,000, while the unemployment rate ticked up to 4.1% from 4.0%. This data sparked optimism that inflationary pressures may be moderating, supporting expectations of future Federal Reserve rate cuts. The S&P 500 gained 1.2%, closing at 5,274.33, while the Nasdaq Composite surged 1.6% to 17,328.89, led by technology stocks. Major tech names including Apple (AAPL), Microsoft (MSFT), and Nvidia (NVDA) posted gains of 2.1%, 1.9%, and 3.4%, respectively. Investors appeared reassured that rising employment was not translating into wage growth spikes, with average hourly earnings rising only 0.3% month-over-month after a 0.4% increase in November. In parallel developments, former President Donald Trump held closed-door discussions with executives from ExxonMobil (XOM), Chevron (CVX), and Occidental Petroleum (OXY) at his Mar-a-Lago estate. The meeting focused on domestic energy production, permitting reforms, and potential tax incentives for fossil fuel projects. While no formal policies were announced, the engagement signaled early movement toward a possible reemergence of energy-focused policy initiatives in the upcoming political cycle. Market participants reacted positively to both the economic data and the strategic signaling around energy, with energy sector ETFs like XLE gaining 1.8% and mid-cap stocks outperforming. Treasury yields declined slightly, with the 10-year yield falling to 4.58% as traders priced in a more dovish Fed path.