* U.S. dollar sees fourth week of losses, bond yields fall
* U.S. payrolls rise beats estimates, hourly earnings slip
* Stocks up after strong jobs report
By Dion Rabouin
NEW YORK, Feb 3 Key world stock indexes rose on
Friday, with U.S. equities near record highs, as data showed the
creation of more U.S. jobs than expected, while President Donald
Trump's executive order to review banking regulations boosted
financial sector shares.
U.S. nonfarm payrolls increased by 227,000 jobs last month,
the largest gain in four months, but wages increased only
modestly, suggesting there was still some slack in the labor
The Dow Jones Industrial Average rose 180.42 points,
or 0.91 percent, to 20,065.33, the S&P 500 gained 16.7
points, or 0.73 percent, to 2,297.55 and the Nasdaq Composite
added 26.64 points, or 0.47 percent, to 5,662.84.
"Continued strong job creation is tempered by the renewed
sluggishness in wage growth, raising questions once again about
the extent to which the functioning of the labor market has
evolved," said Mohamed El-Erian, chief economic adviser at
Allianz in Newport Beach, California.
The wages data initially pushed U.S. Treasury yields
lower, but they reversed that move after comments
from San Francisco Fed President John Williams, who said the Fed
can prepare to raise interest rates this year without knowing
details of any new U.S. fiscal policies because inflation is
firming and the labor market looks good, Williams said.
The Treasury yield curve was the steepest in one and a half
months on Friday.
The fall in yields helped the dollar erase its early
losses. The greenback was marginally higher on the day, but
headed for its fourth straight weekly loss.
MSCI's all-world stock index, which tracks
bourses in 46 markets, rose 0.5 percent, on pace for its third
day of gains.
(Additional reporting by Vikram Subhedar in London and Danilo
Masoni in Milan; Editing by Clive McKeef and Bernadette Baum)