Jobs data surprise lifts US markets

US equity markets have opened higher as markets react to better than expected US jobs data for September.

The Dow Jones was up 0.4% to 11,203 shortly after the open, with the S&P 500 rising by 0.2% to 1,167.

In the UK, the FTSE 100 was up 0.2% to 5,302 despite bank shares struggling following Moody's downgrade of 12 financial institutions.

Germany's Dax was up 0.9% to 5,693 and France's Cac 40 added 0.8% to 3,100 as indices looked set to end the week around 3.5% higher in the immediate aftermath of the worst quarter for equity markets in nine years.

Non-farm payrolls data for September, published ahead of the US open, revealed the world's largest economy added 103,000 jobs during the month - almost twice the level economists forecast.

July and August's figures were revised up by a collective 99,000, adding more credence to view the US will avoid a double-dip recession. The unemployment rate remained at some 9.1%, however.