"This is the second month in a row where we came in above 200,000 and above expectations," said JJ Kinahan, chief market strategist at TD Ameritrade. "I think the reason the market isn't going gangbusters here is because [the Dow] has gone up for eight days in a row. It's hard to justify buying heading into the weekend when you've had this rally."
U.S. equity indexes have been on a tear lately, especially the Dow. The 30-stock index has notched seven straight record closes and broke above 22,000 for the first time on Wednesday.
Investors paid close attention to the report as they looked for clues about the Federal Reserve's plans for future monetary policy changes. Market expectations for a December rate hike are approximately 50 percent, according to the CME Group's FedWatch tool.
"This just gives them more ammunition for another rate hike," said Sharon Stark, managing director of fixed income strategies at Incapital, referring to the jobs report. "The market reaction is not a surprise. We had a pretty strong rally yesterday."
U.S. Treasury yields jumped on the news, with the benchmark 10-year yield climbing to trade at 2.264 percent, while the short-term two-year yield rose to 1.355 percent. Yields followed their UK counterparts lower on Thursday after the Bank of England kept interest rates unchanged.
Currencies also moved on the report, with the dollar edging off a 15-month low. The greenback also hit its lowest level against the euro earlier this week, with the common currency briefly breaking above $1.19.
"The euro has basically had a straight run higher against the dollar since April," said Minh Trang, senior FX trader at Silicon Valley Bank. "A lot of that has to do with an upward outlook on the European economy and also the dollar weakness," which is due to subdued expectations of fiscal stimulus and tax reform.
The dollar soared soon after President Donald Trump was elected, but has dropped more than 8 percent this year. Trump's administration has been mired by multiple failed attempts at repealing and replacing Obamacare, as well as an ongoing investigation into Russia's involvement in the U.S. election.
On Thursday afternoon, the Wall Street Journal first reported that Robert Mueller, the special counsel leading the investigation on Russia, impaneled a grand jury.
"Health-care reform is dead but that's already baked into the market," said Tom Martin, senior portfolio manager at Globalt. "Now they're pivoting to tax reform. If that peters out altogether, then that could be a negative for the market."
—CNBC's Jeff Cox contributed to this report.