NEW YORK - US stocks ended higher on Thursday, as the benchmark S&P 500 index edged higher to the 5,000-point milestone.
The Dow Jones Industrial Average rose 48.97 points, or 0.13 percent, to 38,726.33. The S&P 500 added 2.85 points, or 0.06 percent, to 4,997.91, and has risen 4.8 percent so far in 2024. The Nasdaq Composite Index increased 37.07 points, or 0.24 percent, to 15,793.71.
Six of the 11 primary S&P 500 sectors ended in green, with energy and real estate leading the gainers by adding 1.09 percent and 0.56 percent, respectively. Meanwhile, utilities and financials led the laggards by dropping 0.83 percent and 0.49 percent, respectively.
Richmond Fed President Tom Barkin said it would be smart for the central bank to "take our time" on rate cuts despite "remarkable" data showing that inflation is dropping.
"That's why I think it is smart for us to take our time," he said. "No one wants inflation to reemerge. And given robust demand and a historically strong labor market, we have time to build that confidence before we begin the process of toggling rates down."
According to Thursday's Labor Department data, initial claims dropped by 9,000 to 218,000 in the week ending Feb 3. This marked the first decline in three weeks and indicated that employers were predominantly retaining their workforce. In total, 1.87 million Americans were collecting jobless benefits during the week ending Jan 27, a decrease of 23,000 from the previous week.
More than half of the S&P 500 companies have reported their quarterly earnings, with 80.6 percent exceeding expectations, according to data from LSEG.
Walt Disney's stock surged significantly on Thursday, following the media conglomerate's earnings surpassing Wall Street estimates. Additionally, Disney announced a 3 billion dollars share buyback program, a 50 percent increase in dividends, an investment in gaming, and plans to launch an ESPN streaming service in 2025.
Shares of Spirit Airlines also increased on Thursday, as the company anticipates achieving positive cash flow starting from the second quarter, after reporting a narrower-than-expected loss.
