Investors are expecting to hear some positive economic data this week that would point to continued momentum in the markets and could build on the strength of the past two weeks.

The benchmark S&P 500 Index (SPY) has rallied roughly 5 percent in the past two weeks, its best two-week run in a year, and is up about 4 percent from its Feb. 11 low. The gains are based on recent data that has diminished investor concerns over a recession and has shown oil prices stabilizing around $30 a barrel.

Nonfarm payrolls for February are scheduled to come in on Friday and are expected to show an increase of 193,000 jobs; the unemployment rate is forecast to hold at 4.9 percent. January’s report showed slower job gains but rising wages and the low unemployment rate indicated the labor market remains firm.

THE BENCHMARK S&P 500 INDEX HAS RALLIED ROUGHLY 5 PERCENT IN THE PAST FORTNIGHT, ITS BEST TWO-WEEK RUN IN A YEAR, AND IS UP ABOUT 4 PERCENT FROM ITS FEB. 11 LOW.

Manufacturing and Services Sectors

Also due this week are reports on activity in the manufacturing and services sectors from Markit, a data firm and the Institute for Supply Management. A report Thursday showed new orders for big-ticket durable goods also increased last month following their worst annual performance since the recession. Although manufacturing is expected to remain soft, the data is an important indicator of whether the sector is close to bottoming or will stage a reversal.

Services activity data will be also be in focus after an early reading last Wednesday from Markit pointed to the sector, which had been a positive factor in the economy, showing contraction in February for the first time since October 2013.

According to Art Hogan, chief market strategist at Wunderlich Securities in New York, “The services (report) is what you want to watch.” Hogan believes that investors will readily accept the week report on manufacturing but a positive reading in the services sector would be most welcome.