Good economic news sends markets higher

U.S. stocks rebounded Thursday, sending the Dow Jones industrial average and the Standard & Poor's 500 index back into record territory.

The Dow gained 33.27 points, or 0.19 percent, to 17,719. That's up from its record-high close of 17,687.82 Tuesday.

The S&P 500 index rose 4.03 points, or 0.2 percent, to 2,052.75. That's just above the index's record-high close Tuesday at 2,051.80.

The Nasdaq composite added 26.16 points, or 0.56 percent, to 4,701.87.

Good news on housing and the job market and another dash of strong corporate earnings helped drive stocks higher. Energy stocks led the gainers in the S&P 500 as oil prices rose.

Discouraging economic data out of Europe and China stoked worries of a global economic slowdown that sent stocks lower in early trading. But investors shrugged off those concerns, reassured by the positive U.S. economic reports.

"Housing was good, leading indicators were good, manufacturing was good," said Doug Cote, chief market strategist at Voya Investment Management.

Traders also drew encouragement from retailers including Best Buy, Dollar Tree and Kirkland's that reported better-than-expected earnings. Third-quarter earnings for companies in the S&P 500 are at an all-time high.

"That's a signal for investors that the fundamentals are solid behind this market," Cote said.

The positive reports out of the United States offset worries over the 18-country eurozone, where a broad gauge of business activity fell this month to a 16-month low. In China, a preliminary survey showed manufacturing in the world's second-largest economy slid to a six-month low this month.

While still a concern, the global economic picture has taken a backseat to corporate earnings and the improving job market and economy in the United States and emerging markets.

"We're coming off an earnings season that has been very strong, with 80 percent of companies beating on the top line and around 55 percent beating on the bottom line," noted Tony Roth, chief investment officer at Wilmington Trust.

In energy-futures trading, benchmark U.S. crude rose $1 to $75.58 a barrel in New York. Brent crude rose $1.23 to $79.33 in London.

Also in New York, wholesale gasoline fell 1.6 cents to close at $2.03 a gallon, heating oil rose 2.1 cents to close at $2.38 a gallon, and natural gas rose 11.8 cents to close at $4.49 per 1,000 cubic feet.

In metals trading, gold fell $3 to $1,190.90 an ounce, silver fell 16 cents to $16.14 an ounce, and copper fell three cents to $3.02 a pound.