On pace for their first three-week win streak of 2016, U.S. stocks traded in a range Friday after the monthly jobs report showed economic growth without necessarily inducing the Fed to raise rates earlier.
Oil struggled to hold gains in choppy trade, near $34.60 a barrel as of 9:57 a.m. ET.
"I think it's a good jobs report. Given where expectations are for the second half of the year for earnings, you need economic growth more than you need the Fed to sit on the sidelines," said Jeremy Klein, chief market strategist at FBN Securities.
The Atlanta Fed's GDPNow model forecast for real GDP growth (seasonally adjusted annual rate) in the first quarter rose to 2.2 percent from 1.9 percent after the jobs report.
"We've had a massive run over the last few weeks. Today I would not be surprised to see some profit-taking ahead of the weekend," Klein said, also noting some anticipation of the European Central Bank meeting later next week.
Futures traded little changed just ahead of the open after initially extending gains. Dow futures briefly rose more than 70 points and the S&P 500 e-minis spiked above 2,000 for the first time since Jan. 6.
As of Thursday's close, the major U.S. averages were on pace for weekly gains of more than 1.5 percent and tracking for their first three-straight weeks of gains for 2016.
The nonfarm payrolls report released ahead of the open Friday showed creation 242,000 jobs in February, topping expectations. The unemployment rate unchanged at 4.9 percent, while labor force participation was 62.9 percent.
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A 0.1 percent monthly drop in average hourly earnings lowered the year-on-year gain in earnings to 2.2 percent, Reuters said.
"The economy is good, also however, there's no wage inflation, which puts the Fed out of the picture," said Zhiwei Ren, managing director and portfolio manager at Penn Mutual Asset Management.
"Today's combination is a perfect combination for the equity market," he said.
Treasury yields spiked before trading below session highs.
In opening trade, the Nasdaq composite briefly rose to come within 10 percent of its 52-week intraday high, out of correction territory on an intraday basis. The Dow Jones industrial average and S&P 500 traded about 7.5 and 6.5 percent, respectively, below their 52-week intraday highs, out of correction territory.
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In morning trade, the Dow Jones industrial average gained 6 points, or 0.04 percent, to 16,949, with Caterpillar the top gainer and Intel the greatest decliner.
The S&P 500 traded less than one point higher, or 0.01 percent, at 1,993, with utilities leading six sectors lower and materials the top gainer.
The Nasdaq composite declined 7 points, or 0.14 percent, to 4,700.
The Dow transports traded a touch higher, with LandStar System leading advancers.
About three stocks advanced for every two decliners on the New York Stock Exchange, with an exchange volume of 99 million and a composite volume of 359 million.
U.S. crude oil futures for April delivery gained 1 cent to $34.58 a barrel on the New York Mercantile Exchange. Gold futures for April delivery rose $9.80 $1,268.00 an ounce.
