U.S. stocks rebounded in another choppy session Thursday after renewed concerns over the economy and a weak outlook from market bellwether Microsoft (MSFT) weighed on sentiment in earlier trading.

The S&P 500 jumped 0.4%, climbing back from a lower open, while the Dow Jones Industrial Average hovered just above breakeven. The tech-heavy Nasdaq extended gains to 1.1% as all three indexes attempt to bounce back from two straight days of losses.

Shares of Microsoft slipped 2% at open after the technology giant lowered its profit and revenue outlook, citing headwinds from moves in foreign exchange rates, joining other companies that have recently reported grappling with challenging macroeconomic conditions.

Investors also weighed a bevy of employment data. The Labor Department’s latest weekly jobless claims report showed applications for unemployment insurance unexpectedly fell to 200,000 in a sign labor market conditions remain a bright spot in the economy amid mounting worries of a slowdown. On the other hand, job creation in the U.S. private sector dropped off sharply last month to the slowest pace of growth in the COVID-era recovery, according to ADP’s private payrolls report.

Oil prices retreated from a rally earlier this week following reports Saudi Arabia and other OPEC members may boost crude production to offset a sharp drop in Russia’s output under new sanctions by the European Union. West Texas Intermediate (WTI) and Brent crude oil futures each fell more than 3% Thursday morning.

By 4difm

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