By Anora Mahmudova and Carla Mozee, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks were slightly higher on
Thursday, as investors assessed 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 3 points, or 0.2%, at 1,950.50. The
Dow Jones Industrial Average (DJI) was up 13 points, or 0.1%, at
16,665.74. The Nasdaq Composite (RIXF) ticked up 2 points to
4,436.62.
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 pre-recession
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 own shares in American Eagle Outfitters
Inc.(AEO)
Meanwhile, 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.
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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