NEW YORK, May 2 -- U.S. stocks rallied on Thursday, as investors looked ahead to more corporate earnings and a key labor report set for later in the week.

The Dow Jones Industrial Average rose 322.37 points, or 0.85 percent, to 38,225.66. The S&P 500 added 45.81 points, or 0.91 percent, to 5,064.2, posting the first winning day in three. The Nasdaq Composite Index increased by 235.48 points, or 1.51 percent, to 15,840.96.

Nine of the 11 primary S&P 500 sectors ended in green, with technology and consumer discretionary leading the gainers by going up 1.64 percent and 1.58 percent, respectively. Meanwhile, materials and health dropped 0.51 percent and 0.11 percent, respectively.

Federal Reserve Chair Jerome Powell's statements on Wednesday eased concerns about an imminent interest-rate hike, offering relief to investors. However, he also suggested that the conditions for rate cuts have become more stringent, adding to the uncertainty regarding the timing of potential rate reductions.

"We see markets breathing a sigh of relief after the Fed meeting was less hawkish than feared," said Angelo Kourkafas, senior strategist at Edward Jones. "The base case continues to be that rate cuts are delayed, but not necessarily derailed."

As the first-quarter earnings season is nearing its end, Qualcomm's stock surged by 9.68 percent following earnings that exceeded expectations and upbeat revenue guidance. On the flip side, DoorDash dived 10.34 percent after announcing a larger loss per share. Second-hand car sales platform Carvana surged 33.77 percent after reporting record-breaking earnings, while Moderna soared 12.68 percent due to a smaller-than-anticipated loss.

In the tech sector, megacap stocks like Nvidia and Amazon climbed over 3 percent each as Treasury yields fell, and Apple rose by 2.2 percent ahead of its quarterly financial report.

Investor focus is now on Friday's April nonfarm payrolls report, with economists forecasting 240,000 job additions, down from 303,000 in March.

Wall Street is keen on signs of easing wage and price pressures, which have sparked concerns about potential delays in the Fed's rate cut plans, according to Anthony Saglimbene, Ameriprise's chief market strategist.

Saglimbene noted that if the report shows solid employment but a decrease from the previous month, stocks could respond positively.

  - Xinhua