US stocks surged on Thursday, driven by a more optimistic update on the labor market. The S&P 500 increased by 1.9%, the Nasdaq soared over 2.3%, and the Dow Jones Industrial Average rose approximately 1.4%.
The positive market reaction followed a report showing 233,000 initial jobless claims for the week ending August 3, significantly lower than the previous week’s 250,000 and below economists’ expectations. This data provided a boost amid recent market volatility, spurred by last week’s weaker-than-expected non-farm payrolls report.
Thursday’s gains came after a rocky session on Wednesday, where a late downturn eroded earlier advances, reflecting ongoing market uncertainty. The latest jobless claims update offered investors renewed confidence and a welcomed break from recent fluctuations.