U.S. stocks closed higher Thursday on positive job claims and retail sales data.
The Labor Department reported on Thursday that the number of people requesting unemployment benefits last week fell by 20,000 to a seasonally adjusted 368,000.
The reading was the third decline in the last four weeks. Applications were now at their lowest level since May 2008. The four-week average for applications, a less volatile figure, fell last week to 388,500.
Meanwhile, a separate report showed the Institute for Supply Management (ISM) non-manufacturing index indicated that the service sector expanded for the 15th consecutive month in February. The index rose to 59.7 from 59.4 in the previous month, stronger than the average market expectation.
The Dow Jones industrial average climbed 191.40 points, or 1.59 percent, to 12,258.20. The Standard & Poor's 500 Index was up 22. 53 points, or 1.72 percent, to 1,330.97. The Nasdaq gained 50.67 points, or 1.84 percent, to 2,798.74.
