US stocks rose on Thursday, helped by an upbeat earnings outlook and favourable news in the biotech and pharmaceutical sectors, while economic data eased worries about a possible recession.
Stronger-than-expected reports on the services sector and retailers' monthly sales pointed to underlying strength in the economy, although hopes dimmed for a series of Federal Reserve interest rate cuts. Shares of industrial conglomerates gained, including General Electric Co, up 1 percent at $39.14.
Biotech company Biogen Idec Inc issued a long-term earnings outlook that topped analysts' expectations, while shares of Merck & Co Inc rose after the company prevailed in a court ruling about reimbursement for Merck's arthritis drug, Vioxx.
The Dow Jones industrial average was up 42.84 points, or 0.32 percent, at 13,348.31. The Standard & Poor's 500 Index was up 2.60 points, or 0.18 percent, at 1,474.89. The Nasdaq Composite Index was up 3.31 points, or 0.13 percent, at 2,609.26.