US stocks took a leap higher Thursday after weekly initial jobless claims fell more than forecast in a reassuring update on the health of the US labor market. The S&P 500 (^GSPC) rose about 1%, while the tech-heavy Nasdaq (^IXIC) jumped more than 1%. The Dow Jones Industrial Average (^DJI) was up about 1.2%.
The normally routine jobless claim update found itself in the spotlight Thursday amid increasing scrutiny on the labor market, as last week’s sluggish non-farm payrolls update served as one of the earliest catalysts of the recent declines.
Government data showed that there were 233,000 initial jobless claims in the week ending Aug. 3, down from 250,000 last week and fewer than what economists had forecast.
The number added a fresh jolt into Thursday’s trading. Wall Street saw a comeback attempt falter on Wednesday, as stocks faded into the close and ended up with sizable declines….
