US STOCKS-Nasdaq closes at all-time high as strong tech sector offsets jobless data

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* S&P 500, Dow Jones end higher
* Weekly jobless claims back over 1 million
* Nvidia dips as data center business results disappoint
* Intel jumps after announcing $10 bln share buyback plan

(Updates with closing prices, adds Tesla)
By Gertrude Chavez-Dreyfuss
NEW YORK, Aug 20 (Reuters) - Nasdaq ended at a record high
on Thursday, with the S&P 500 and Dow also rising, as gains in
heavyweight tech stocks outweighed downbeat data that affirmed
the Federal Reserve's view of a difficult road to economic
recovery.
Gains in Apple Inc AAPL.O - the only publicly listed U.S.
company to cross the $2 trillion market value milestone -
Amazon.com Inc AMZN.O and Microsoft Corp MSFT.O underpinned
the three main indexes' gains as investors bet they would ride
out the economic crisis.
The Dow Jones Industrial Average .DJI ended up 46.85
points, or 0.17%, to 27,739.73, the S&P 500 .SPX gained 10.66
points, or 0.32%, to 3,385.51 and the Nasdaq Composite .IXIC
added 118.49 points, or 1.06%, to 11,264.95.
Stocks had opened lower on data that showed jobless claims
rose unexpectedly back above the 1 million mark last week after
slipping below that level for the first time since the start of
the pandemic.
Separate data from the Philadelphia Fed showed a business
conditions index fell more than expected in August.
The volatility in jobless claims followed the lapse of an
extra $600 weekly unemployment benefit at the end of July and
came as Democrats in Congress have failed to reach an agreement
with the White House on extending it.
"Investors are looking through this downturn towards a point
where we will begin to get a recovery especially with the
Federal Reserve backstopping the companies," said Brian
Reynolds, chief market strategist at Reynolds Strategies.
"Whether it's right or wrong, that's the way it is. Though,
I think the market is getting a little too exuberant," he added.
Nasdaq clocked its 19th record closing high since early
June, when it confirmed its recovery from the coronavirus
sell-off. Thursday's record close was its 35th so far this year
compared with 31 record closing highs in 2019 and 29 in 2018.
Despite signs that parts of the economy are still far away
from pre-pandemic levels, the benchmark S&P 500 index completed
its fastest recovery from a bear market this week, joining the
Nasdaq in scaling new peaks. It also confirmed a bull market for
the S&P 500.
The S&P 500 and Nasdaq retreated on Wednesday after minutes
from the Fed's latest policy meeting gave a somber assessment of
the U.S. economy as it grapples with the pandemic but ruled out,
for now, more dovish easing policy measures. Economically sensitive financial .SPSY and energy .SPNY
sectors were some of the biggest percentage losers among the
major S&P sectors.
Nvidia Corp NVDA.O was little changed at $485.64 after
posting better than expected quarterly sales forecast.
Intel Corp INTC.O rose 1.7% to $49.17 after announcing a
$10 billion share buyback plan.
Shares of Tesla TSLA.O surged past the $2,000 mark on
Thursday for the first time as the electric car maker extended
its recent rally ahead of an upcoming share split. L Brands Inc LB.N advanced 3.8% to $29.57 after reporting
a surprise quarterly profit, boosted by strong demand for Bath &
Body Works' products as well as higher online sales of
Victoria's Secret lingerie. Declining issues outnumbered advancing ones on the NYSE by a
1.54-to-1 ratio; on Nasdaq, a 1.46-to-1 ratio favored decliners.
The S&P 500 posted 18 new 52-week highs and no new lows; the
Nasdaq Composite recorded 66 new highs and 28 new lows.