Investing.com - Rising regional manufacturing output and falling jobless claims in the U.S. coupled with reassuring words from Federal Reserve Chairman Ben Bernanke sent stocks rising on Thursday.
At the close of U.S. trading, the Dow Jones Industrial Average finished up 0.50%, the S&P 500 index also ended up 0.50%, while the Nasdaq Composite index rose 0.04%.
The U.S. Department of Labor reported earlier that the number of individuals filing for initial jobless benefits last week fell by 24,000 to 334,000, better than expectations for a drop of 13,000 to 345,000.
Elsewhere, the Federal Reserve Bank of Philadelphia said that its manufacturing index rose 19.8 for July from June’s 12.5 reading. Analysts had expected the index to decline to 7.8.
Meanwhile, Fed Chairman Ben Bernanke told U.S. lawmakers in his semi-annual congressional testimony earlier that stimulus programs will remain in place for the foreseeable future though they may begin to wind down later this year if the economy improves.
Stimulus programs such as the Fed's USD85 billion monthly asset-purchasing program tend push up stock prices by keeping borrowing costs low.
However, talk of their dismantling can send stock prices rising as well, as a decision to do so would signify a more robust economy.
Bernanke stressed that an end to such stimulus programs will not herald the arrival of tighter monetary policy and added that benchmark lending rates may remain at rock-bottom levels even if the country's monthly unemployment rate approaches 6.5%, a level the U.S. central bank has said it would like to see.
A combination of accommodative monetary policy and an improving underlying economy is often bullish for stocks.
Leading Dow Jones Industrial Average performers included UnitedHealth Group, up 6.51%, Bank of America, up 3.21%, and Boeing, up 2.77%.
The Dow Jones Industrial Average's worst performers included Intel, down 3.73%, American Express, down 3.63%, and Merck, down 1.52%.
European indices, meanwhile, finished higher.
After the close of European trade, the EURO STOXX 50 rose 1.35%, France's CAC 40 rose 1.44%, while Germany's DAX 30 finished up 1.00%. Meanwhile, in the U.K. the FTSE 100 finished up 0.95%.
At the close of U.S. trading, the Dow Jones Industrial Average finished up 0.50%, the S&P 500 index also ended up 0.50%, while the Nasdaq Composite index rose 0.04%.
The U.S. Department of Labor reported earlier that the number of individuals filing for initial jobless benefits last week fell by 24,000 to 334,000, better than expectations for a drop of 13,000 to 345,000.
Elsewhere, the Federal Reserve Bank of Philadelphia said that its manufacturing index rose 19.8 for July from June’s 12.5 reading. Analysts had expected the index to decline to 7.8.
Meanwhile, Fed Chairman Ben Bernanke told U.S. lawmakers in his semi-annual congressional testimony earlier that stimulus programs will remain in place for the foreseeable future though they may begin to wind down later this year if the economy improves.
Stimulus programs such as the Fed's USD85 billion monthly asset-purchasing program tend push up stock prices by keeping borrowing costs low.
However, talk of their dismantling can send stock prices rising as well, as a decision to do so would signify a more robust economy.
Bernanke stressed that an end to such stimulus programs will not herald the arrival of tighter monetary policy and added that benchmark lending rates may remain at rock-bottom levels even if the country's monthly unemployment rate approaches 6.5%, a level the U.S. central bank has said it would like to see.
A combination of accommodative monetary policy and an improving underlying economy is often bullish for stocks.
Leading Dow Jones Industrial Average performers included UnitedHealth Group, up 6.51%, Bank of America, up 3.21%, and Boeing, up 2.77%.
The Dow Jones Industrial Average's worst performers included Intel, down 3.73%, American Express, down 3.63%, and Merck, down 1.52%.
European indices, meanwhile, finished higher.
After the close of European trade, the EURO STOXX 50 rose 1.35%, France's CAC 40 rose 1.44%, while Germany's DAX 30 finished up 1.00%. Meanwhile, in the U.K. the FTSE 100 finished up 0.95%.