* Stocks jump on earnings, weekly jobs data
* GE shares rises after upgrade from Goldman Sachs
* Dow up 1.7 pct; S&P 500 up 2 pct; Nasdaq up 1.8 pct
* For up-to-the-minute market news click []
(Updates to early morning)
By Ellis Mnyandu
NEW YORK, July 30 (Reuters) - U.S. stocks rose on Thursday
as a string of solid corporate profits and a drop in the number
of Americans staying on jobless benefits fueled economic
recovery hopes.
A broker upgrade for General Electric Co <GE.N> added to
the positive tone. The market's surge propelled the benchmark
S&P 500 index <.SPX> to its highest intraday level in about
nine months as it extended its recovery from the 12-year low of
early March and took aim at the psychologically important 1,000
level.
Companies posting solid results before the bell included
mobile phone maker Motorola Inc <MOT.N>, up 11.2 percent,
insurance broker AON Corp <AOC.N>, up 1.4 percent, industrial
conglomerate Tyco International Ltd <TYC.N>, up 4.3 percent,
and MasterCard <MA.N>, up nearly 6 percent.
"I guess the trend is our friend right now. The positive
momentum is carrying through and earnings for the most part
have been better-than-anticipated," said John O'Brien, senior
vice president at MKM Partners LLC in Cleveland. "I think that
reflects that the economy is stabilizing."
The Dow Jones industrial average <> gained 150.93
points, or 1.66 percent, to 9,221.65. The Standard & Poor's 500
Index <.SPX> rose 18.54 points, or 1.90 percent, to 993.69. The
Nasdaq Composite Index <> climbed 35.79 points, or 1.82
percent, to 2,003.55.
Earlier the S&P 500 climbed to an intraday high of 995.23,
it's highest level since early November 2008, and the Nasdaq
hit its highest level since October 2008. The S&P 500 is now up
47.2 percent from the 12-year closing low of March 9.
Initial claims for state unemployment insurance benefits
rose 25,000 to a seasonally adjusted 584,000 in the week ended
July 25, the Labor Department said, a touch above market
expectations for a reading of 570,000.
However, the four-week moving average for new claims,
considered to be a better gauge of underlying trends as it
irons out week-to-week volatility, fell by 8,250 to 559,000.
This was the lowest level since late January.
Continuing claims -- the number of people staying on the
benefit rolls after collecting an initial week of aid -- fell
by 54,000 to 6.20 million in the week ended July 18, the lowest
since early April
Goldman Sachs raised its recommendation on General Electric
<GE.N> to "buy," saying comments made by the chairman of a key
congressional committee suggests a decreased chance of a break
for the finance arm of the diversified industrial
manufacturer.
U.S. House Financial Services Committee Chairman Barney
Frank in an interview with Bloomberg late on Wednesday
suggested there was broadening support for regulatory reform
that would not mandate the separation of GE Capital, Goldman
analysts said. For details, see []
GE shares rose 6.6 percent to $13.07, putting the stock
among the Dow's top boosts. On Nasdaq, Apple Inc <AAPL.O> was
the top boost, rising 2.5 percent to $163.99.
Visa Inc <V.N> shares were up 2.7 percent at $68.60 after
the world's largest credit card company posted
stronger-than-expected earnings late on Wednesday.
But Exxon Mobil Corp <XOM.N> shares fell 1.9 percent to
$70.05 after the oil company reported a 66 percent drop in
quarterly profit, which falling short of Wall Street
expectations. []
Investors later Thursday will watch a record $28 billion
7-year note auction from the U.S. Treasury, though there could
be caution following poor demand for two government auctions
earlier this week.
(Editing by Padraic Cassidy) ((Ellis.Mnyandu@thomsonreuters.com; +1 646 223 6085; Reuters
Messaging:ellis.mnyandu.reuters.com@reuters.net))
