Dow Jones adds over 550 pts, hits highest level in August

US indices closed higher on Thursday, as investors cheered strong consumer spending and labor data despite the monetary tightening cycle.

The Dow Jones Industrial Average leapt 1.4%, or 554 points, to settle at 40,563 points, its highest level since July 31 (40,842).

The S&P 500 index jumped 1.6%, or 88 points, to 5,543 points, the highest since July 23. The Nasdaq Composite Index also soared 2.35%, or 401 points, to 17,594 points, the highest since July 31.

As for European markets, the STOXX Europe 600 rose 1.15% to 509.8 points.

The German DAX index added 1.65% to 18,183 points, and the French CAC 40 index gained 1.25% to 7,423 points. The British FTSE index was up 0.8% to 8,347 points.

The Nikkei index rose 0.8%, or 284 points, to 36,726 points, and the broader Topix index added 0.75% to 2,600 points.

Brent crude futures for October delivery rose 1.6%, or $1.28, to $81.04 per barrel.

WTI crude for September delivery increased 1.55%, or $1.18, at $78.16 per barrel.

Regarding gold, futures prices for December delivery were up 0.5%, or $12.7, to $2,492.40 per ounce.

Treasury yields rose as retail sales grew 1% in July, while the jobless claims were lower than expected last week, hitting their lowest level in five weeks.