NEW YORK, Jan. 4 (Xinhua) -- The U.S. stocks closed higher Friday, amid signs of some momentum in hiring, notching a massive weekly advance.
At the close of trading, the Dow Jones Industrial Average was up 43.85 points, or 0.33 percent, to 13,435.21. The broader S&P 500 Index gained 7.10 points, or 0.49 percent, to 1,466.47. The tech- heavy Nasdaq Composite Index inched up 1.09 points, or 0.04 percent, to 3,101.66.
The equity markets notched their strong weekly gains, after the U.S. Congress approved a budget deal late Tuesday night to avert the so-called "fiscal cliff", which economists warn could tip the world largest economy into recession.
The market pared some gains Thursday as investors feared that the U.S. Federal Reserve might end its asset-purchasing program earlier than expected.
For the week, the Dow surged 3.8 percent and the S&P soared 4.6 percent to its highest level since 2007, while the Nasdaq climbed 4.8 percent.
The market opened mixed on Friday after a key jobs report posted a steady U.S. employment growth, with the jobless rate unchanged in December.
According to the Labor Department's latest report, U.S. non- farm employers added 155,000 jobs in December, in line with market estimate, despite the tense "fiscal cliff" negotiations in Washington.
However, the solid hiring growth wasn't enough to bring down the country's unemployment rate, which stayed at 7.8 percent in December, still well above the average rate over the last 60 years of about 6 percent.
The current situation in the jobs market seemingly indicated that the Fed would not yet consider halting its plans to buy bonds, according to some analysts.
Working Americans' average hourly earnings advanced 0.3 percent in December, while the length of the average work week also gained slightly.
A better-than-expected expansion of U.S. service firms in December also helped boost the market. The Institute for Supply Management reported on Friday that its index of non-manufacturing activity rose to 56.1 in December, the highest level since February. A reading above 50 indicates expansion.
Moreover, U.S. factory orders were flat in November compared with October, and companies increased their orders for manufactured goods that reflect investment plans, the Commerce Department said on Friday.
The equities might benefit from investors'adjustment from bonds to stocks. Goldman Sachs strategists have issued a big warning to clients hiding out in bond funds, adding stocks can be an attractive source of income.
In terms of stocks, Apple shares fell 2.78 percent Friday, as its main rival Samsung is expected to widen its lead over the tech giant in global smartphone sales in 2013 with a 35 percent growth, according to Strategy Analytics.
Google rose 1.98 percent after U.S. regulators Thursday finished their investigation into the Internet giant and concluded that it had not manipulated its Web search results to hurt rivals.
SolarCity Corp., a solar-power provider, jumped 10.60 percent after saying that its installations will surge 60 percent this year.
Light, sweet crude for February delivery on the New York Mercantile Exchange edged up 0.18 percent to settle at 93.09 U.S. dollars per barrel, rising 2.5 percent in the week. Brent crude for February delivery dipped 0.74 percent to settle at 111.31 dollars a barrel, registering a weekly gain of 0.62 percent.
The market concerns about the possibility that the Fed slow or stop quantitative easing in 2013 pushed the dollar higher. An index measuring the dollar against major currencies rose 1 percent this week.
Gold for February delivery on the COMEX lost 1.53 percent to settle at 1,648.9 dollars per ounce on stronger dollar.
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