MARKET SNAPSHOT: Stocks Gain: S&P Eyes Record, Russell Up For Year

By Victor Reklaitis, MarketWatch

NEW YORK (MarketWatch)--U.S. stocks notched intraday records on Friday after a solid jobs report, leaving the S&P 500 on track for its strongest week since mid-April while the previously pummeled small-cap Russell 2000 index turned positive for the year.

The S&P 500 (SPX) advanced 7 points, or 0.4%, to 1,948. The index hit an all-time intraday high and worked on achieving a record close for the third straight day. The benchmark has set 17 record closes so far this year and is up 1.3% for the week, marking its strongest weekly percentage rise since April 17.

The Dow Jones Industrial Average (DJI) rose 78 points, or 0.5%, to 16,914, leaving the blue-chip index on pace for its second straight record close and a 1.2% weekly gain. It also hit an intraday record Friday and has notched seven closing records so far this year.

The Nasdaq Composite (RIXF) jumped 23 points, or 0.5%, to 4,319. The tech-heavy index is eyeing a weekly advance of 1.8% and trading at levels last seen in late March.

The Russell 2000 (RUT) climbed nearly 10 points, or 0.9%, to 1,163.92, putting the small-cap index on track for a 2.6% gain for the week. It has turned barely positive for the year--up less than 0.1%. Analysts had worried in mid-May that the drop by more economically sensitive small caps would spread to the broader market, but the Russell 2000 has ended up finding a bottom and rallying.

The U.S. economy added 217,000 jobs in May, and the unemployment rate held steady at 6.3%, the Labor Department said Friday. Economists polled by MarketWatch had expected a gain of 210,000, with the unemployment rate rising to 6.4% from 6.3% in April.

In the wake of Friday's jobs report, investors "seem to believe that there is no reason to rip up the script," said Andrew Wilkinson, chief market analyst at Interactive Brokers, in emailed comments. "Monetary stimulus is likely to remain evident even as the taper-countdown goes on, which means that bond yields are likely to remain low thus underpinning the rally in equity prices to fresh record highs." (Read more: 'Solid report all around'--May jobs reactions http://www.marketwatch.com/story/solid-report-all-around-may-jobs-reactions-2014-06-06.)

On Thursday, the S&P 500 and Dow industrials both nabbed their best gains since May 21, helped by the European Central Bank announcing a raft of stimulus measures.

Among individual stocks on Friday, Hertz Global Holdings Inc.(HTZ) was down nearly 9% after the car-rental company said it would have to restate and correct its results from 2011 through 2013.

Bank of America Corp. (BAC) is drawing attention after The Wall Street Journal reported the bank is in talks to pay a fine of at least $12 billion to settle probes tied to toxic mortgages. Shares rose 1%.

E-Trade Financial Corp.(ETFCD) was among top gainers in the S&P 500, rising 4% after reportedly drawing an upbeat note from Nomura Securities analysts, who backed their buy rating.

In other markets, European stocks continued to push higher after the Stoxx Europe 600 closed at the highest level in six years on Thursday, driven by the ECB's moves. Asian stocks finished largely mixed on Friday, with the wait for U.S. jobs data keeping a lid on the action. September gold (GCZ4) edged lower, while July oil (CLN4) managed a small rise.

More must-reads from MarketWatch:

We're in a Rodney Dangerfield bull market

3 reasons to invest in Facebook

Best photos from the D-Day celebrations

Subscribe to WSJ: http://online.wsj.com?mod=djnwires