US stocks gain on jobs data, dovish Fed

New York - US stocks scored solid gains for the second straight session Wednesday on good private-sector hiring figures and continued momentum from dovish commentary from the head of the Federal Reserve.

The Dow Jones Industrial Average gained 83.55 points to 17 716.66.

The broad-based S&P 500 rose 8.94 points to 2 063.95, while the tech-rich Nasdaq Composite Index climbed 22.67 points to 4 869.29.

The gain in US stocks came as most overseas markets rose on comments Tuesday by Federal Reserve Chair Janet Yellen pledging a very cautious approach to further interest rate increases.

Private payrolls firm ADP reported that the US added 200 000 private-sector jobs in March, raising hopes that Friday's monthly US jobs report will be strong.

"The drivers are back to a more dovish Fed and hopes that the earnings season will be better than expected," said Art Hogan, chief market strategist at Wunderlich Securities.

Dow member Boeing fell 1.8% on news it will eliminate about 4 000 jobs as it seeks to cut costs and boost productivity.

MetLife jumped 5.4% after a federal judge annulled a US designation of the insurer as a systemically important financial institution requiring much stricter regulation.

Insurers AIG and Prudential Financial, which also carry the SIFI designation, rose by 2.1% and 2.0%, respectively.

Valeant Pharmaceuticals International tumbled 6.6% as it announced it had sought waivers from lenders to extend the deadline for filing its annual and quarterly securities reports. The reports have been held up by a review of the company's financial statements.

Carnival advanced 5.5% as first-quarter net income nearly tripled to $142m. The cruise company lifted its 2016 forecast based on stronger booking trends compared with last year.

Yoga-attire maker Lululemon Athletica surged 10.7% as fourth-quarter earnings climbed 5.9% to $117.4m on a 5% rise in comparable store sales.

Acadia Pharmaceuticals surged 9.2% on news a US Food and Drug Administration panel voted in favour of its Nuplazid medication for the treatment of psychosis associated with Parkinson's disease.