Dow up 350, another 4.4 million jobless claims

Dow up 350, another 4.4 million jobless claims

People who lost their jobs wait in line to file for unemployment following an outbreak of the coronavirus disease (COVID-19), at an Arkansas Workforce Center in Fayetteville, Arkansas, April 6, 2020.

Nick Oxford | Reuters

Stocks rose for a second day even after data showed another 4.4 million Americans filed for jobless claims last week amid coronavirus shutdowns. Still, major equity averages are on track for modest weekly losses due to a steep sell-off earlier this week triggered by an unprecedented oil rout. Here’s what’s happening: 

This is a live blog. Please check back for updates.

10:30 am: New home sales hit lowest level since 2013

10:02 am: CSX shares rise after earnings beat

Shares of railroad giant CSX gained more than 3% on Thursday after the company reported quarterly earnings that beat analyst expectations. CSX posted a profit of $1 per share, topping a Refinitiv estimate of 94 cents per share. CSX was among the best-performing stocks in the Dow Transports index, which rose more than 1.5%. —Imbert

9:55 am: S&P 500 average gains since March low are much bigger than losses

The S&P 500‘s rally from its late-March lows has happened in part because the index’s daily upside moves have been bigger than its downturns over the past month, data from Instinet shows. On average, the S&P 500 has averaged a gain of 3.6% since March 24 versus an average loss of 2.1%. “While obvious, the simplicity should not outweigh the importance,” said Instinet’s Frank Cappelleri. “This kind [of] scenario is what helps bullish patterns succeed and bearish patterns fade away … which is what we’ve seen happen over the last month of trading.” —Imbert

9:50 am: Cooperman says capitalism will likely be changed forever

9:45 am: Goldman raises Amazon target to Street high

9:31 am: Stocks open slightly higher

Stocks rose a tad at the open as investors digested data showing jobless claims totaled 4.4 million last week. The Dow Jones Industrial Average climbed about 70 points, while the S&P 500 and the Nasdaq Composite traded about 0.4% higher. The major stock averages are still headed for weekly losses after a steep sell-off earlier this week on an unprecedented oil rout. — Li

9:05 am: Gap drops after warning it might run out of cash

Shares of Gap dropped 5% in premarket trading after the apparel company warned it might not have enough cash for operations as its stores remain temporarily shut because of the coronavirus pandemic. Gap said in a securities filing that it must take further actions to find liquidity over the next 12 months, such as additional job cuts and new debt financing. It added that beginning this month, it stopped paying rent on its temporarily shuttered stores. The stock has tumbled 60% this year — Li

8:38 am: The US economy has now erased all job gains since the Great Recession

It took only five weeks for the U.S. economy to wipe out all the job gains it added over the last 11 years.

Coronavirus-induced business closures throughout the U.S. has fueled the number of Americans applying for state unemployment benefits. Last week, new jobless claims totaled 4.427 million, the Labor Department reported Thursday.

Combined with the four prior jobless claims reports, the number of Americans who have filed for unemployment over the previous five weeks is 26.45 million. That number exceeds the 22.442 million jobs added to nonfarm payrolls since November 2009, when the U.S. economy began to add jobs back to the economy after the Great Recession. —Franck

8:31 am: 4.4 million Americans filed for jobless claims last week

Another 4.427 million workers filed state unemployment claims in the week ended April 18, bringing the total number seeking benefits over the past five weeks to more than 26 million. There was little reaction from stocks and bonds following the jobs report.— Li

8:00 am: Oil jumps again, adding to comeback from historic lows

Oil rose for a second session on Thursday, rebounding from an unprecedented rout. West Texas Intermediate crude jumped 13.6% to trade at $15.68 per barrel. Brent crude traded $1.60, or 7.6%, higher at $21.94 per barrel. On Monday, the WTI contract for May delivery plunged below zero to trade in negative territory for the first time in history.— Li

7:42 am: Target sees ‘Cyber Monday’-sized online sales boom

Target CEO Brian Cornell said Thursday the retailer has benefited from a surge in online shopping, but warned it will have lower profits this quarter due to higher costs. Cornell said the online trend has worked in the discount retailer’s favor, and it expects to emerge from the coronavirus pandemic having gained market share. Since its fiscal first quarter began Feb. 2, Target’s same-store sales have risen more than 7%. So far in April, comparable digital sales have increased by more than 275% from a year ago.

Despite the strong comparable and digital sales, Target’s stock is down 5% in premarket trading.— Repko, Fitzgerald

7:35 am: Another 4.3 million workers expected to have filed unemployment claims

7:30 am: Stock futures flat ahead of weekly jobless claims

—CNBC’s Fred Imbert, Thomas Franck, Patti Domm, Melissa Repko contributed reporting.

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