Stocks Jump After Jobs Report

NEW YORK (AP) -- U.S. stocks are climbing Wednesday morning after a survey by payroll processor ADP showed strong hiring by private businesses in September. Banks are rising as interest rates move higher. European stocks rose after the Italian government said it will gradually reduce its deficits over the next few years.

KEEPING SCORE: The S&P 500 index jumped 10 points, or 0.4 percent, to 2,934 as of 10 a.m. and is on track for a record high. The Dow Jones Industrial Average, which finished at an all-time high Tuesday, gained 113 points, or 0.4 percent, to 26,887. The Nasdaq composite added 25 points, or 0.3 percent, to 8,025.

The Russell 2000 index continued to lag the rest of the market and rose just 1 point, or 0.1 percent, to 1,657. It's fallen almost 5 percent since the end of August as investors have grown less worried about trade tensions between the U.S. and other countries.

JOBS DATA: Private businesses in the U.S. added 230,000 jobs in September, according to ADP. That's the biggest total in seven months. Hiring was strong in most major industries. The federal government will release a report Friday that covers hiring by private businesses and also by governments.

Bond prices fell. The yield on the 10-year Treasury note rose to 3.08 percent from 3.05 percent. That helped banks, which are able to charge higher interest rates on long-term loans when bond yields rise. Comerica rose 1.3 percent to $90.90 and Bank of America added 0.6 percent to $29.76.

GM FUELS UP: General Motors rose 2.8 percent to $34.23 after Honda agreed to invest $2.75 billion in GM's autonomous vehicle business over the next 12 years. Japanese technology firm SoftBank said in May that it would pay $2.25 billion for a 20 percent stake in the GM business, which is called Cruise. GM has been widely viewed as being in second place in the autonomous vehicle race, behind Google's Waymo.

OVERSEAS: Stocks in Europe rose after Italy's economy minister backed down on spending plans that would keep the country's deficit at an elevated level for three years. That relieved investors who were worried about Italy's debts and the possibility of tensions between the country and the European Union.

The FTSE MIB in Italy gained 1.4 percent after dropping 5 percent over the previous five days. Italian government bond prices climbed and the yield on the 10-year bond fell sharply, to 3.30 percent from 3.44 percent.

The CAC 40 in France rose 0.7 percent while the FTSE 100 in Britain rose 0.6 percent. German markets were closed for a holiday.

IN FOR A PENNEY: J.C. Penney climbed 4.3 percent to $1.63 after it named Jill Soltau, the president and CEO of fabric and crafts company Jo-Ann Stores, as its next CEO. Soltau will start at Penney in mid-October. Its previos CEO, Marvin Ellison, stayed for less than four years before leaving to became CEO of home improvement chain Lowe's.

Penney's stock is down almost 50 percent in 2018, and has plunged almost 80 percent in the past five years.

SLEEPING EASY: Tempur Sealy jumped 8.6 percent to $52.53 after Reuters reported that rival Mattress Firm might file for bankruptcy protection as soon as this week.

ASIA'S DAY: Asian stocks fell as traders worried about by rising oil prices and weak economic data in Japan. Japan's benchmark Nikkei 225 fell 0.7 percent and Hong Kong's Hang Seng dropped 0.1 percent.

ENERGY: Benchmark U.S. crude fell 0.2 percent to $75.02 a barrel in New York. Brent crude, used to price international oils, fell 0.3 percent at $84.58 a barrel in London.

CURRENCIES: The dollar rose to 113.89 yen from 113.69 yen. The euro fell to $1.1531 from $1.1545.