Wall Street stocks were mixed on Friday after a rally in financials helped soften news that the unemployment rate reached a five-year high in August.

Financials were among the biggest casualties of the morning session but climbed strongly, adding 3.2 per cent amid speculation Blackstone Group and KKR, would buy some businesses from Lehman Brothers’ as part of a deal worth around $5bn. Lehman Brothers rose 6.8 per cent to $16.20.