Stocks open higher as investors cheer earnings, economic data

U.S. stocks rose Thursday after better-than-expected earnings reports from Bank of America and other major companies.

The Dow Jones Industrial Average jumped about 409 points, or 1.2%. The S&P 500 gained 1% and the Nasdaq Composite added 1%.

Third-quarter earnings season rolled on Wednesday with several big banks and Dow members reporting financial results before the bell.

Bank of America and Morgan Stanley both saw their shares rise in the morning after beating earnings expectations.Wells Fargo and Citigroup shares each ticked lower despite earnings beats.

Dow constituents UnitedHealth and Walgreens Boots Alliance also gained after the companies' quarterly results topped estimates.

A lower-than-anticipated number of weekly jobless claimsadded to the positive market sentiment. Initial unemployment insurance claims last week totaled 293,000 – the first time the tally fell below the 300,000 level during the pandemic-era.

September's producer price index, which measures wholesale prices, was lighter than expected, also helping sentiment.