U.S. stocks opened flat on Wednesday after the latest data on the labor market came in far stronger than expected, adding to expectations that the Federal Reserve would raise interest rates at its meeting next week. The Dow Jones Industrial Average rose 19 points to 20,943, a rise of less than 0.1%. The S&P 500 rose less than a point to 2,369. The Nasdaq Composite Index rose less than 0.1% to 5,836, a move of 3 points on the day. Equities have been in a strong uptrend of late, with major indexes hitting a series of records and the S&P 500 coming off a six-week streak of gains. While the ADP jobs data pointed to an economy that was improving, higher rates could represent a headwind for further gains. Much of the market’s advance over the past several years has been attributed to the low-rate environment, although some sectors – notably banks – are expected to thrive in an environment with higher rates. Financials were the strongest performers of the day on Wednesday, up 0.8%, with Goldman Sachs among the most active, rising 0.9%.
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