Stocks Opened Lower Despite Falling Jobless Claims

U.S. stocks opened lower on Thursday despite the report showed that jobless claims in the US fell to an eight-year low. The Dow Jones Industrial Average lately dropped 46.40 points, or 0.27%, to 16,947.82. The S&P 500 was down 8.63 points, or 0.44%, to 1,960.26. The Nasdaq Composite fell 14.48 points, or 0.32%, to 4,454.12.

The number of Americans filing new claims for unemployment benefits fell last week to nearly its lowest level since before the 2007-09 recession, a sign of growing steam in the U.S. labor market. Initial claims for state unemployment benefits dropped 1,000 to a seasonally adjusted 287,000 in the week ended Oct. 4, the Labor Department said on Thursday.

PepsiCo Inc (PEP) raised its full-year earnings forecast and said snack sales helped its quarterly profit beat expectations. The company raised its full-year growth forecast for earnings per share to 9 percent from 8 percent before taking into account currency impacts.

Alcoa Inc. (AA) topped earnings estimates in the third quarter of 2014 on record results from its downstream business, aided by higher aluminum pricing and strong productivity. The New York-based company raked in a profit of $149 million or 12 cents per share in the third quarter compared with net income of $24 million or 2 cents per share in the year- ago quarter and an income of $138 million or 12 cents per share in the second quarter.

Allergan Inc. on Thursday boosted its earnings outlook for the quarter ended in September and gave rosy long-term forecasts, citing its growing market share and regulatory approvals. Allergan said it now expects to post per-share earnings of $1.76 and $1.78 in the quarter, up from the $1.44 to $1.47 it had previously expected.