Stocks rise on increased optimism

NEW YORK -- Stocks have closed higher for a second day after traders found room for optimism in mixed economic reports.

Stocks climbed Thursday on reports that business at the nation's services companies grew in May and that the number of people seeking first-time jobless claims slipped for a second week. The gains faded at times during trading but stocks recovered by the close as traders looked to the Labor Department's May jobs report on Friday.

The Dow Jones industrials are up almost 6 at 10,255. The Standard & Poor's 500 index is up 5 at 1,103. The Nasdaq composite index is up 22 at 2,303.

About two stocks rose for every one that fell on the New York Stock Exchange. Volume came to 1.2 billion shares, compared with 1.4 billion Wednesday.