U.S. stocks drift lower after strong jobs data

U.S. stocks pared early gains to trade modestly lower around midday Monday, as investors continued to digest the robust July jobs report.

Around noon, the Dow Jones Industrial Average fell 11.94 points, or 0.06 percent, to 18,531.59. The S&P 500 edged down 0.51 point, or 0.02 percent, to 2,182.36. The Nasdaq Composite Index lost 7.78 points, or 0.15 percent, to 5,213.34.

In the absence of major economic data, Wall Street was still sifting through the country's upbeat nonfarm jobs data released by the U.S. Labor Department Friday.

The U.S. total nonfarm payroll employment rose by 255,000 in July, well above economists' estimates of 180,000, and the unemployment rate was unchanged at 4.9 percent.

Analysts thought that the market is continuing the rally on the positive employment data. If the U.S. labor market keeps improving, however, analysts said that may nudge the Federal Reserve toward a near-term interest-rate hike.

Meanwhile, oil prices were also in focus, which jumped over 2 percent around midday Monday on a report of renewed calls by some members of Organization of the Petroleum Exporting Countries (OPEC) to restrain output.

On Friday, U.S. stocks posted solid gains, with the S&P 500 and the Nasdaq setting their new closing records, boosted by the strong jobs report. Enditem