U.S. stocks slumped in volatile trading on Friday with the tech-heavy Nasdaq heading for its worst week since March 2020, as fears over rising borrowing costs offset optimism about a strong economic rebound following blowout monthly jobs report. The benchmark 10-year U.S. Treasury yields hit a new one-year high of 1.626% after nonfarm payrolls increased by 379,000 jobs last month, blowing past a rise of 182,000 forecast by economists polled by Reuters. "Investors are still trying to figure what they want in a battle between continued easy fiscal policies or an actual economical recovery which would require higher rates and they haven't made that decision yet," said Randy Frederick, vice president of trading and derivatives for Charles Schwab in Austin.
Norwegian Air expects its dispute with Boeing over the cancellation of orders for 97 aircraft to be decided in U.S. legal proceedings and not as part of an Irish restructuring process, a lawyer for the airline said on Friday. On Friday, the airline indicated to the Irish court that it was seeking to repudiate three aircraft sales contracts with Boeing. But a lawyer for Norwegian later made clear to the court that any repudiation would not impact or prejudge ongoing legal proceedings linked to the contracts in the United States.
Stocks turned negative after the Labor Department's February jobs report handily exceeded expectations, reaffirming the building momentum in the economic recovery, but also stoking a rise in Treasury yields and concerns over an economic overheating.