U.S. markets ended higher on Thursday after a Labor Department report showed that U.S. producer prices unexpectedly remained unchanged in July. The Producer Price Index (PPI) for final demand was flat in July after declining a revised 0.1 percent in June, compared with the 0.2 percent increase street had expected. The annual growth rate also slowed to 4.7 percent from 5.5 percent in June, coming in below the 4.9% forecast. Investors will now turn their attention to July retail sales data for further clues about the strength of the U.S. economy and the outlook for interest rates.
On the sectoral front, computer hardware stocks extended their rally for a third consecutive session, with the NYSE Arca Computer Hardware Index surging 4.7% to a new record closing high. Software stocks also posted significant gains, with the Dow Jones U.S. Software Index climbing 2%. Telecom, transportation, and commercial real estate stocks also recorded notable strength.
Nasdaq jumped 214.54 points or 0.81 percent to 26,803.02, S&P 500 gained 50.49 points or 0.65 percent to 7,798.99, and Dow Jones Industrial Average was up by 69.72 points or 0.13 percent to 53,839.99.
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