The government's jobs report found 203,000 jobs were added in November, with the jobless rate falling to 7.0 percent. Analysts polled by Reuters had expected that 180,000 jobs were created last month, with unemployment marginally lower at 7.2 percent.
"It was a really good jobs report. There were a lot of positives in there. Manufacturing jobs are at their best level in over a year. Construction jobs being higher again is always good for the economy," said JJ Kinahan, chief market strategist at TD Ameritrade.
But Kinahan did not think the data moved any cuts in stimulus by the Federal Reserve into December.
"We do have this Fed meeting coming up, but that's right over the Christmas holidays. It would be odd timing," he said.
Federated's Orlando had a slightly different take, saying it's a certainty that the Fed will start cutting its asset purchases at one of the next three Federal Open Market Committee meetings, and which one is just a question of splitting hairs.
"Does the Fed taper in December? The answer is maybe. There are two things that might hold them back; the move in inflation went the wrong way, and they are concerned about deflation, and the fact we didn't have a 200,000-plus (jobs) number in each of the last four months," said Orlando.
That said, "we absolutely believe the Fed will commence the taper at some point in the next three to four months. Our base case is that March is probably the most likely time. But given the strength of the number here, you can't rule out late January or mid-December," he added.
Data on Thursday showed the economy grew faster-than-expected in the third quarter, fueling fears the Fed could start tapering before year ends, rather than in first quarter 2014.
On Friday, stocks furthered their gains after The Thomson Reuters/University of Michigan's preliminary reading on consumer sentiment came in at 82.5 in December, beating expectations.
In corporate news, American Eagle Outfitters forecast current-quarter profit under expectations, with the teen-apparel retailer citing holiday discounts. Its shares fell sharply.