Nasdaq Gains 1.4%, Market Volatility Eases

U.S. markets closed higher on Thursday, with the Nasdaq Composite jumping around 1.4%.

Majority of the sectors on the S&P 500 settled higher, with consumer discretionary stocks recording the biggest surge on Thursday. Energy, however, was the worst performing sector in the previous session.

The Dow Jones climbed 162.10 points to 32,036.90 on Thursday, while the S&P 500 added 0.99% to 3,998.95 in the previous session.

The Chicago Board Options Exchange's CBOE Volatility Index (VIX) fell 3.2% to 23.11 points on Thursday.

The European Central Bank, on the other hand, boosted interest rates for the first time in over one decade in a bid to control surging inflation level.

Shares of Tesla Inc TSLA gained 9.8% on Thursday after reporting upbeat quarterly earnings.

As far as the earnings season is concerned, 91 S&P 500 companies have released quarterly results so far, with around 78% of those exceeding market estimates. The rate is down from the 81% beat rate during the previous four quarters.

U.S. reported soft economic data on Thursday, with weekly jobless claims hitting a new eight-month high and the Philadelphia Fed manufacturing index dropping for the fourth straight month to -12.3 in July.

Investors are now awaiting the release of manufacturing and services PMI from the US today.