The Dow added 338 points on Thursday after Senate Majority Leader Chuck Schumer said Congress has agreed on a short-term increase to the U.S. debt ceiling, which could prevent the U.S. from defaulting until December. Better-than-expected jobless claims data for the week also boosted sentiment, with reopening and tech stocks leading the charge.

All three benchmarks scored their third-straight win; the Nasdaq notched a triple-digit gain -- its largest since Aug. 23 -- while the S&P 500 also settled firmly in the black. Investors are now turning to tomorrow's long-awaited jobs report, which could influence the Federal Reserve's timeline for tapering stimulus.

The Dow Jones Average (DJI - 34,754.94) gained 338 points or 0.9%. UnitedHealth (UNH) paced the gainers with a 2.7% pop, while Amgen (AMGN) fell to the bottom, shedding 3.3%.

The S&P 500 Index (SPX - 4,399.76) tacked on 36.2 points, or 0.8%, for the day, and the Nasdaq Composite (IXIC - 14,654.02) jumped 152.1 points or 1.1% for the day.

Lastly, the Cboe Volatility Index (VIX - 19.54) lost 1.5 points or 7%.

UPBEAT JOBLESS DATA PRESSURES GOLD PRICES

Oil prices finished higher on Thursday, erasing earlier losses after Bloomberg News reported the U.S. Energy Department said it has no plans to tap the nation's Strategic Petroleum Reserve. A deal to increase the U.S. debt limit also boosted the commodity. November-dated crude rose 87 cents, or 1.1%, to settle at $78.30 a barrel in response.

Meanwhile, gold prices were lower, as better-than-expected jobless claims data weighed on the yellow metal. A pop in the 10-year U.S. Treasury yield pressured prices lower as well. In turn, December-dated gold fell $2.60 cents or 0.1%, to settle at $1,759.20 an ounce for the day.