New York, N.Y. — The Dow Jones Industrial Average ended its three-day run of closing highs as initial gains following January’s jobs report lost momentum, highlighting the market’s ongoing volatility. The Dow slipped 67 points, or 0.1%, while the S&P 500 remained nearly unchanged. Meanwhile, the Nasdaq Composite saw a slight decrease of 0.2%.

Bond markets reacted to the jobs report, with the yield on the 2-year Treasury note climbing to 3.51%, while the 10-year yield rose to 4.17%. After the Bureau of Labor Statistics revealed that the U.S. economy added 130,000 jobs in January, there was an initial boost to both stocks and bond yields.

Ellen Zentner, chief economic strategist at Morgan Stanley Wealth Management, pointed out that market analysts were likely anticipating a decrease in job growth figures, especially after softer economic data was reported last week. Instead, the surprising growth in job numbers sent a jolt through financial markets.

The S&P 500 briefly surged to 6,993.48 but retreated as it faced resistance near the 7,000 mark, a psychological barrier for traders focused on technical analysis. This difficulty in maintaining momentum above such a round number can reflect traders’ cautious attitudes amid market uncertainties.

Rick Rieder, chief investment officer for BlackRock’s Global Fixed Income team, discussed implications for investors in the face of fluctuating economic conditions. He suggested that the current economic landscape indicates 2026 might see steady intermediate-term interest rates, although January’s report could delay that timeline.

Rieder also noted that portfolios tailored for short- to intermediate-term fixed-income assets could benefit from this backdrop, especially those with enhanced yield opportunities. He remarked on the success of income-focused investments in 2025 and expressed confidence that similar outcomes could unfold in the current year.

Market watchers are now turning their attention to the upcoming consumer price index report for January, as its results could further influence investment strategies and market trajectories. As data continues to roll in, traders remain vigilant, balancing optimism with caution in a shifting economic landscape.