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Cisco’s earnings lift
Nasdaq to 2003 high
NEW YORK >> Wall Street moved moderately higher yesterday, lifted by upbeat earnings from Cisco System Inc. and a larger-than-expected drop in jobless claims. The Nasdaq composite index hit a new 52-week high.
"We had very good economic numbers, the earnings numbers have been fine and all are pointing to a stronger economy going forward," said Neil Massa, equity trader at John Hancock Funds. "The jobless number also looks very promising."
The Nasdaq composite index gained 17.00, or 0.9 percent, to 1,976.37. It was the highest close for the tech-focused index since Jan. 17, 2002, when it stood at 1,985.82.
The Dow Jones industrial average closed up 36.14, or 0.4 percent, at 9,856.97.
And the Standard & Poor's 500 index rose 6.24, or 0.6 percent, to 1,058.05.
Advancing issues outnumbered decliners 8 to 5 on the New York Stock Exchange. Consolidated volume was moderate at 1.83 billion shares, compared with 1.80 billion traded Wednesday.
The Russell 2000 index, which tracks smaller company stocks, rose 4.03, or 0.8 percent, at 542.94.
The NYSE composite index rose 18.66, or 0.3 percent, to 5,985.24. The American Stock Exchange composite index gained .64, or 0.1 percent, to 1,065.20.
The Treasury's two-year note slipped 332 to 99 1032, with its yield rising 5 basis points to 1.97 percent. The 10-year note fell 1532 to 98 2332, with its yield gaining 6 basis points to 4.41 percent.
A government report issued before the opening showed new claims for unemployment benefits last week plunged to the lowest level in more than two years.
In a separate report, the Labor Department found productivity of U.S. companies in the third quarter registered its best showing since early 2002.
The jobless figures offered a hopeful sign that the battered employment market may be turning a corner. A more important indicator of the labor market's health -- the monthly report for October -- is due today.
Analysts say investors have been somewhat hesitant to buy stocks this week ahead of the key employment numbers. If today's results are strong, it could lure more sidelined investors into the market.
Cisco gained $1.10, or 5.1 percent, to $22.90 after reporting higher-than-expected sales and profits late Wednesday. Cisco, the leading maker of routers and switches through which Internet and other network traffic pass, also expanded its outlook for the next quarter.
News Corp. rose 65 cents to $37.13 after reporting strong earnings, largely on higher global sales of video entertainment. The parent company of the Fox News Channel and the Twentieth Century Fox movie studio beat analyst expectations by 9 cents a share in results announced just after the close of regular trading Wednesday.
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