Dow adds 500 points after latest jobless data brings better news for America's labor market

First-time claims for unemployment benefits fell last week, providing a boost to market optimism. Initial claims dropped to 233,000 from the previous week’s revised figure of 250,000. This data suggests a relatively healthy labor market. Economists had expected 240,000 claims for the week. The decrease in claims was attributed to the impact of auto plant shutdowns and Hurricane Beryl. However, continuing claims, which include people receiving jobless benefits for at least a week, rose to 1.88 million. The report comes as Wall Street tries to recover from the market decline prompted by a weak July jobs report. Stock futures rose, and the Dow increased by over 500 points. The S&P 500 and Nasdaq Composite also saw gains.