Fuel Dump? On a 737? Go back to your virtual airline, please.
Nearest suitable airport is more than weather and runway. You have to have facilities as well. We had a crew divert years ago due to an unexpected airport closure and the place they diverted to, while it had 10000 foot runways, did not have an airstair that would reach the main cabin door of the 757.
I had to divert a few years ago because of a yellow hyd failure on a 320. I was eastbound between DEN and MCI at 2 am with a 100 kt tailwind. I was closer to DEN in distance by the time we finished the checklist but diverted to MCI. Why? The headwind going back to DEN would have cost us more time than continuing east to Kansas City. I would have had better support at DEN but not enough to compensate for the additional risk factor of flying extra time on a partial hydraulic system. There are a lot of factors you consider when diverting and very few of us have the information that the Captain of that flight had. I believe he and his F/O did the right thing because in the end no one was hurt and the airplane lived to fly another day.