NEW YORK-A rebound in retail sales and strong jobs reports pushed stocks near their highest levels of the year. US retailers had their best June sales results since 1999 as shoppers were lured into stores by warm weather and deep discounts. Kohl's Corp, Target Corp, and Urban Outfitters Inc each gained more than six per cent.
Investors have been concerned that high gas prices would constrain consumer spending as people looked for ways to save money. The higher sales figures reassured markets that consumers were becoming more willing to spend again. An improving job market likely helped. The number of people who made first-time claims for unemployment benefits dropped last week to a seven-week low of 418,000, the government reported. That's a sign that employers are laying off fewer workers.
The Dow Jones industrial average gained 93.47 points, or 0.7 per cent, to close at 12,719.49. The Standard and Poor's 500 index added 14 points, or 1.1 per cent, to 1,353.22. The tech-focused Nasdaq composite closed at 2,872.66 after gaining 1.4 per cent. It briefly traded at a new high for the year of 2,877. (AP)