Stocks close up on strong earnings, jobs data

ByABC News
August 2, 2007, 10:00 PM

NEW YORK -- Wall Street had its second-straight late-day rally Thursday, again propelling the Dow Jones industrials up more than 100 points after solid readings on corporate earnings and the job market calmed some of investors' anxiety about a tight credit market.

Trading was volatile again, but not to the extreme seen over the past week. The Dow and the Nasdaq composite mostly stayed in positive territory for much of the session.

Analysts said the jobless report in particular helped stocks, as it indicated that the labor market is holding up. The figures were released a day before the government's highly anticipated July employment report, to be issued before the start of trading on Friday.

"Something that has kept consumers spending is that unemployment is very low," said Janna Sampson, director of portfolio management at Oakbrook Investments. "Even if they're being pinched a little bit by oil prices or the inability to borrow, people will spend if they have a job. If we see employment weakening, that's really, really negative."

The Dow rose 100.96, or 0.8%, to 13,463.33. The Standard & Poor's 500 index picked up 6.39, or 0.4%, closing at 1472.20, while the Nasdaq composite index rose 22.11, or 0.9%, to 2575.98.

Bonds were little changed, with the yield on the benchmark 10-year Treasury note at 4.79%, the same as late Wednesday.