By Anora Mahmudova and Carla Mozee, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks were higher on Thursday,
as investors shrugged off a larger-than-expected jump in jobless
claims and mixed earnings from Wal-Mart Stores Inc. and Kohl's
Corp.
The S&P 500 (SPX) was up 5.6 points, or 0.3%, at 1,952.37.
The Dow Jones Industrial Average (DJI) was up 34 points, or 0.2%,
at 16,685.05. The Nasdaq Composite (RIXF) gained 12 points, or
0.3%, to 4,445.79.
Dow industrials component Wal-Mart (WMT)lowered its full-year
earnings forecast, while second-quarter operating profit met
analyst expectations and sales topped those views.
Department-store operator Kohl's (KSS) shares rallied after the
company posted slightly improved second-quarter earnings from a
year ago, despite a decline in sales. Same-stores sales turned
positive in July.
A report from the Labor Department showed initial jobless claims
rose more than expected, but remained close to prerecession levels,
boding well for the labor market.
"Investors gave a jobless claims a pass, as the trend seems to
be intact," said Lawrence Creatura, portfolio manager at Federated
Investors. He said the firm owns shares in American Eagle
Outfitters Inc.(AEO)
Meanwhile, operators of brick-and-mortar stores are slowly
adjusting to a shift in consumer behavior, and, "We see a lot of
stocks that are now attractive because of that shift," he said.
After Thursday's closing bell, embattled retailer J.C. Penney
(JCP) is projected to report a narrower second-quarter loss of 91
cents a share.
Nordstrom (JWN) also will release results after the close, and
analysts expect the upscale department store chain to post earnings
of 94 cents for its second quarter.
Also read: Why retail worries will only grow, and love for
Tesla
Stocks to watch
Tesla Motors Inc.(TSLA) could extend the streak of record closes
to four straight sessions. Tesla stock has been climbing since
reporting strong second-quarter results.
The Class A shares of Warren Buffett's Berkshire Hathaway(BRKA)
have hurdled the $200,000 price level for the first time, nearly
eight years after first piercing the $100,000 mark. S&P Dow
Jones Indices' Howard Silverblatt noted that the shares crossed
above $100 in May 1977.
Cisco Systems (CSCO) shares fell after the network-equipment
maker said late Wednesday that it plans to cut up to 6,000 jobs.
(Read more about the day's notable movers here:
http://www.marketwatch.com/story/wal-mart-cisco-are-stocks-to-watch-thursday-2014-08-13.)
In other action, the 10-year yield on U.S. Treasurys fell 36
basis points to 2.4% after the jobless claims. September oil
futures (CLU4) gave up 63 cents a barrel, while December gold
futures (GCZ4) gave up earlier gains and were flat. European stocks
were higher and Asian stocks finished mixed, with Hong Kong's Hang
Seng losing 0.4%.
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