Investing.com - U.S. stocks were steady on Thursday, as investor confidence found mild support after strong U.S. employment data while markets eyed the release of a key report on service sector growth for more indications on the strength of the economic recovery in the U.S.
During early U.S. trade, the Dow Jones Industrial Average eased up 0.02%, the S&P 500 index edged 0.03% lower, while the Nasdaq Composite index inched down 0.04%.
The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending April 28 fell to 365,000, dropping by the most since May 2011 and beating expectations for a decline to 380,000.
The previous week’s figure was revised up to 392,000 from 388,000.
A separate report showed that non-farm business sector labor productivity declined 0.5% in the first quarter, in line with expectations. The previous quarter’s figure was revised to a 1.2% gain from a previously reported 0.9% increase.
The report also said unit labor costs rose by a seasonally adjusted 2.0% in the first quarter, below expectations for a 2.8% gain, after rising by a revised 2.7% in the fourth quarter.
In earnings, General Motors saw shares plummet 2.01% after posting earnings that topped expectations as the U.S. automaker increased prices and was able to cut losses in its European operations.
A number of retailers also traded lower as sales showed a slowdown in April with many companies falling short of analysts' expectations, due to the early start of spring.
Target, Costco and Wet Seal were among companies that posted disappointing same-store sales for the month. Shares in the three companies were down 2.07%, 1.43% and 2.68% respectively.
On the upside, Whole Foods Market surged 5.46% after the upscale grocery store chain beat earnings estimates and boosted its full-year earnings guidance. In addition, at least five brokerages raised their price target on the firm.
Chesapeake Energy also contributed to gains, climbing 4.30%, rebounding from its 14% plunge on Wednesday, after CEO Aubrey McClendon apologized for his personal financial dealings. The company also posted earnings that missed expectations earlier this week.
Reuters reported on Wednesday that for at least four years McClendon ran a private hedge fund that traded in contracts for oil and natural gas, which are commodities that Chesapeake produces. The report suggests that running the hedge fund could have influenced McClendon decisions at Chesapeake.
Other stocks in focus included AIG, Kraft Foods, First Solar and Cigna, due to announce results later in the day.
Across the Atlantic, European stock markets were higher. The EURO STOXX 50 rose 0.49%, France’s CAC 40 advanced 0.48%, Germany's DAX added 0.31%, while Britain's FTSE 100 gained 0.49%.
During the Asian trading session, Hong Kong's Hang Seng Index shed 0.5%, while markets in Japan remained closed for the Golden Week holiday.
Later in the day, the U.S. Institute of Supply Management was to produce a report on service sector growth.
During early U.S. trade, the Dow Jones Industrial Average eased up 0.02%, the S&P 500 index edged 0.03% lower, while the Nasdaq Composite index inched down 0.04%.
The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending April 28 fell to 365,000, dropping by the most since May 2011 and beating expectations for a decline to 380,000.
The previous week’s figure was revised up to 392,000 from 388,000.
A separate report showed that non-farm business sector labor productivity declined 0.5% in the first quarter, in line with expectations. The previous quarter’s figure was revised to a 1.2% gain from a previously reported 0.9% increase.
The report also said unit labor costs rose by a seasonally adjusted 2.0% in the first quarter, below expectations for a 2.8% gain, after rising by a revised 2.7% in the fourth quarter.
In earnings, General Motors saw shares plummet 2.01% after posting earnings that topped expectations as the U.S. automaker increased prices and was able to cut losses in its European operations.
A number of retailers also traded lower as sales showed a slowdown in April with many companies falling short of analysts' expectations, due to the early start of spring.
Target, Costco and Wet Seal were among companies that posted disappointing same-store sales for the month. Shares in the three companies were down 2.07%, 1.43% and 2.68% respectively.
On the upside, Whole Foods Market surged 5.46% after the upscale grocery store chain beat earnings estimates and boosted its full-year earnings guidance. In addition, at least five brokerages raised their price target on the firm.
Chesapeake Energy also contributed to gains, climbing 4.30%, rebounding from its 14% plunge on Wednesday, after CEO Aubrey McClendon apologized for his personal financial dealings. The company also posted earnings that missed expectations earlier this week.
Reuters reported on Wednesday that for at least four years McClendon ran a private hedge fund that traded in contracts for oil and natural gas, which are commodities that Chesapeake produces. The report suggests that running the hedge fund could have influenced McClendon decisions at Chesapeake.
Other stocks in focus included AIG, Kraft Foods, First Solar and Cigna, due to announce results later in the day.
Across the Atlantic, European stock markets were higher. The EURO STOXX 50 rose 0.49%, France’s CAC 40 advanced 0.48%, Germany's DAX added 0.31%, while Britain's FTSE 100 gained 0.49%.
During the Asian trading session, Hong Kong's Hang Seng Index shed 0.5%, while markets in Japan remained closed for the Golden Week holiday.
Later in the day, the U.S. Institute of Supply Management was to produce a report on service sector growth.