* Nonfarm Payrolls data exceeds estimates
* GameStop slides as 'Roaring Kitty' returns to YouTube
* Nvidia dips with market cap back below $3 trillion
* Lyft gains after forecasting annual growth in bookings
NEW YORK, June 7 (Reuters) - Wall Street stocks ended mostly flat on Friday in choppy trading after stronger-than-expected U.S. jobs data pointed to a robust economy but prompted worries the Federal Reserve may wait longer to cut interest rates than many investors had hoped.
The U.S. economy generated about 272,000 jobs in May, far more than the 185,000 analysts had forecast, according to a Labor Department report. The unemployment rate inched up to 4%.
The benchmark S&P 500 slipped immediately after the report while U.S Treasury yields climbed as traders slashed bets on a September rate reduction. The index recovered and briefly hit a fresh intraday record high as investors noted the data pointed to underlying economic health.
According to preliminary data, the S&P 500 lost 7.01 points, or 0.13%, to end at 5,345.95 points, while the Nasdaq Composite lost 42.79 points, or 0.25%, to 17,130.33. The Dow Jones Industrial Average fell 91.88 points, or 0.24%, to 38,794.29.
"This tells you there's certainly not going to a cut in the short term, and with the bond yields going back up it's putting a lot of pressure on the risk-on trade, which is probably small caps," said Sandy Villere, portfolio manager at Villere & Co in New Orleans.
"It's just a function of interest rates and maybe a little higher for longer, and people have to recalibrate for that type of environment. So it definitely looks like a risk-off trade so far today," he added.
Traders now see a 56% chance of a September rate reduction, according to the CME's FedWatch tool. Investors will eye U.S. inflation data next week and the Federal Reserve's two-day policy meeting, which ends on June 12.
"No one expects the Fed to cut (rates next week), but will they open the door for a cut as soon as September is the big question on everyone's mind," said Ryan Detrick, chief market strategist at the Carson Group, adding he still sees a September reduction on the table.
GameStop slumped in volatile trading just as stock influencer "Roaring Kitty" kicked off his first livestream in three years. The gaming retailer had announced a potential stock offering and a drop in quarterly sales.
Other so-called meme stocks, including AMC Entertainment and Koss Corp, also fell.
Nvidia slipped, on track to extend the previous session's losses, with its valuation again dipping below the $3 trillion mark. Its highly anticipated 10-for-1 share split is due after markets close and could make the more-than-$1,000 stock cheaper for investors.
Lyft shares rose, following a forecast of 15% annual growth in its gross bookings through 2027 after markets closed on Thursday.
(Reporting by Chibuike Oguh in New York; additional reporting by Lisa Mattackal and Johann M Cherian in Bengaluru; Editing by Pooja Desai and David Gregorio)
