Unemployment Past 10%, Stocks Frozen

Stocks wavered, went flat and closed with little movement Friday despite unemployment figures hitting a 26-year high, the worst results since 1983.

The Dow Jones industrial Average picked up 17 points to close at 10024. The Nasdaq was up 7 at 2112 and the S&P 500 picked up 2 to close at 1070.

Setting off the decline, the Labor Department said U.S. unemployment rose to 10.2% in October and employers cut more jobs than forecast, a sign the labor market continues to struggle as the economy emerges from its deep recession. 

The unemployment rate, calculated using a survey of households as opposed to companies, rose by 0.4 percentage points to 10.2%. Economists surveyed by Dow Jones Newswires had forecast an increase to 9.9%.

Nonfarm payrolls fell by 190,000 last month, with the largest job losses in construction, manufacturing, and retail trade. Economists expected a 175,000 decrease.

Helping stocks prior to the payrolls report, Starbucks raised its earnings outlook for next year and reported a $150 million fiscal fourth-quarter profit.

Friday's move comes one day after upbeat economic data on the jobs market and from several retailers helped the Dow push back above the 10000 level with a 203-point gain.

European stocks were down near the end of the session. Asian markets finished higher.

Gold topped $1,100 an ounce early, then ebbed to 1095 at the close.

Crude traded on the Nymex dropped early. As of 4:10 p.m., front-month futures contracts were down $1.93 at $77.69.

Dow Jones Newswires contributed to this report.