Stocks finished down 1 percent Friday, wiping out the previous session's gains, despite a better-than-expected government jobs report and amid nervousness ahead of next week's presidential election.
The Dow and Nasdaq finished in the red for the week, while the S&P 500 squeezed out a small gain.
The Dow Jones Industrial Average fell 139.46 points, or 1.05 percent, to close at 13,093.16, dragged by Chevron and Caterpillar. Bank of America led the blue-chip gainers.
The S&P 500 dropped 13.39 points, or 0.94 percent, to end at 1,414.20. The Nasdaq declined 37.93 points, or 1.26 percent, to finish at 2,982.13.
The CBOE Volatility Index, widely considered the best gauge of fear in the market, ended above 17.
For the week, the Dow erased 0.11 percent, the S&P 500 eked out a gain of 0.16 percent, and the Nasdaq dipped 0.19 percent. Pfizer was the worst weekly performer on the Dow, while BofA surged.
Among key S&P sectors, energy was the biggest laggard for the week, while consumer discretionary gained.
Stocks initially bounced at the open after a better-than-expected October government jobs report. Employers added 171,000 jobs in October, while the unemployment rate inched up to 7.9 percent, according to the Labor Department. Economists polled by Thomson Reuters expected non-farm payrolls rose by 125,000, an increase on September's 114,000 gain.
The jobs report is the last issued before the presidential election next Tuesday. (Read More: How Much Will High Jobless Rate Matter in This Election?)
Gold slid 2 percent, to settle below $1,680 an ounce for the first time in about two months as the report lowered expectations for economic stimulus provided by global central banks. Gold stocks including Newmont Mining, Goldcorp nd Barrick Gold all traded in the red.
Meanwhile, factory orders climbed 4.8 percent in September, according to the Commerce Department, edging past expectations. The increase was the biggest since March 2011.
Oil prices tumbled to session lows after the U.S. Department of Homeland Security issued a temporary, blanket waiver of the Jones Act to allow foreign-flagged oil tankers from the Gulf of Mexico to help supply the Northeast with fuel, after Hurricane Sandy shut two refineries in the region. The waiver will run through Nov. 13, according to the department.
Early estimates of the economic impact of Hurricane Sandy put the total loss between $30 billion and $50 billion, making it one of the costliest storms in U.S. history. (Read More: Most Expensive Hurricanes in US History)
Markets were closed Monday and Tuesday marking the first two-day weather-related shutdown since 1888.
Meanwhile, Verizon said its fourth-quarter operating results could be significantly affected by Hurricane Sandy. And Delta said it canceled 3,500 flights due to Sandy, adding the storm will negatively impact its October profit by $20 million.
Apple started selling its iPad mini in stores. Still, shares fell more than 3 percent. Apple also breached its 200-day moving average for the first time since last November.
Among earnings, Chevron edged lower after the oil giant posted earnings and revenue that missed expectations.
Starbucks soared after the coffeehouse giant boosted its earnings forecast for the fiscal year. Barclays raised its price target on the firm to $55 from $53.
TripAdvisor surged nearly 20 percent to lead the S&P 500 gainers after the company posted earnings and revenue that beat expectations.
Restoration Hardware jumped nearly 30 percent in its market debut on the NYSE after the furniture retailer priced at the high end of its range.
European shares ended higher ollowing the U.S. jobs report, but gains were limited amid renewed worries over Greece. Investors remain concerned divisions in the debt-ridden nation's ruling coalition will prevent an austerity bill passing through parliament next week, marring the country's prospects of receiving its next bailout tranche.
—By CNBC's JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)
On Tap Next Week:
MONDAY: ISM non-mfg index; Earnings from Toyota, Humana, Time Warner Cable, Transocean, Zillow
TUESDAY: 3-Yr note auction, ELECTION NIGHT; Earnings from Nissan, CVS Caremark, NYSE Euronext, Office Depot, News Corp
WEDNESDAY: Weekly mortgage apps, oil inventories, 10-yr note auction, consumer credit, Coach shareholders mtg, Oracle shareholders mtg; Earnings from Macy's, Sodastream, Qualcomm, Activision Blizzard, CBS, Monster Beverage, Whole Foods
THURSDAY: International trade, jobless claims, 30-yr bond auction, Kellogg analyst day, 3M investor mtg, OPEC press conference; Earnings from Dean Foods, Wendy's, Disney, Groupon, Nordstrom, Nvidia, Kayak, Zipcar
FRIDAY: Import/export prices, consumer sentiment, wholesale trade; Earnings from JCPenney
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