12:47 PM EDT, 04/05/2024 (MT Newswires) -- US equity indexes rose as high-growth sectors such as technology and communication services jumped after wage growth from a year ago declined, signaling workforce expansion in nonfarm payrolls could be non-inflationary.

The S&P 500 climbed 1.3% to 5,215.2, with the Nasdaq Composite up 1.5% to 16,292.4 and the Dow Jones Industrial Average 1% higher at 38,989.5.

All sectors rose intraday. Technology, communication services, and consumer discretionary led the gainers.

Nonfarm payrolls rose by 303,000 in March, the Bureau of Labor Statistics reported Friday. The consensus in a survey compiled by Bloomberg was for an increase of 214,000. February's data was revised lower by 5,000 to 270,000. Last month, nonfarm payrolls for January were revised lower by 124,000 and December by 43,000, implying the headline payrolls have recently been prone to significant revisions.

Average hourly earnings advanced 0.3% sequentially in March and 4.1% from a year ago, both in line with Wall Street's views. The monthly metric reflected an acceleration from February's 0.1% gain, while the annual growth, the weakest since June 2021, fell from 4.3% in the prior month.

"The data point to a non-inflationary expansion of the labor market, and do not alter the Fed's course to a June cut," Morgan Stanley said in a note. "Today's report corroborates our view that significantly strong population flows are evidence that labor supply can support breakeven payrolls of around [265,000]. Wages continue to trend lower."

Nevertheless, the US 10-year yield jumped six basis points to 4.37%, and a 7.6 basis point increase in the two-year Treasury pushed the rate to 4.72%.

In company news, Johnson & Johnson ( JNJ ) agreed to acquire Shockwave Medical ( SWAV ) in an all-cash deal with an enterprise value of about $13.1 billion as the pharmaceutical giant seeks to strengthen its MedTech cardiovascular portfolio.

West Texas Intermediate crude oil rose 0.8% to $87.32 a barrel.