U.S. stocks rose Thursday, rebounding after fresh data showed jobless claims dropped and the economy expanded sharply in the third quarter.
The Dow Jones Industrial Average gained 137 points, or 0.5%, as of the 4 p.m. close of trading in New York. The S&P 500 added 1.2%. Both indexes on Wednesday suffered their biggest one-day percentage declines since June.
The Nasdaq Composite advanced 1.6% ahead of earnings reports from some of the biggest companies in the technology sector.
Fresh data showed that 751,000 Americans applied for initial unemployment benefits through the week ended Saturday, down from a seasonally adjusted 791,000 in the prior week. The decline is a sign that the labor market is slowly recovering, though claims remain at historically high levels.
Meanwhile, U.S. gross domestic product for the third quarter rose at an annual pace of 33.1%, the biggest gain ever. The increase followed a record drop in output earlier in the year when the virus and related shutdowns disrupted business activity across the country.