The Federal Reserve reported that industrial production advanced by 0.9% in October, reversing a portion of September''s 1.5% decline. Economists had expected an increase of about 1%. The central bank attributed a large portion to the rise in output to hurricane-related recoveries and the resolution of a strike at a major aircraft producer, by which it meant Boeing.

The Department of Labor released its report on initial jobless claims in the week ended November 12 on Thursday, showing a bigger than expected decrease.

The report showed that jobless claims fell to 303,000 from the previous week''s revised figure of 328,000. Economists had expected claims to edge down to 325,000 compared to the 3326,000 originally reported for the previous week.

The new jobless claims included 19,000 claims related to hurricanes Katrina, Rita and Wilma, bringing the total number of layoffs caused by the storms to 561,400. Hurricane related claims have been declining in recent weeks after peaking at 108,000 in the third week in September.

INTERNATIONAL MARKET NEWS

Asian-Pacific benchmarks finished mostly in the positive with the Nikkei in the lead, rising 1.7% and hitting a fresh four-year high of 14,411,79 on strong dollar and bargain hunting. Hong Kong’s Hang Seng was another gainer, climbing 0.9%, followed by South Korea’s Kospi, up 0.2% after reaching an all-time peak of 1,272,80. The only decliner was Taipei’s Weighted Times, down 0.4%.

European markets advanced at mid-day dealings, supported by merger-and-acquisition news and rising commodities prices which boosted companies like BP and Rio Tinto. The automotive stocks slightly offset gains as the sector fell on Renault’s cautious profit outlook. The German DAX 30 rose 0.9%, the French CAC 40 climbed 0.6%, and London’s FTSE 100 gained 0.7%. The euro slipped to $1.665.

OIL, METALS, CURRENCIES

Crude oil prices hit $58 a barrel on cold weather in Europe and winter season supply concerns. Light sweet crude December delivery rose 12 cents to $58 a barrel in electronic trading on the Nymex. London Brent gained 11 cents to $56.11.

Gold prices neared an 18-year high in European trading. In London the precious metal was fixed at $480.75 per troy ounce, up from $475.75. In Zurich gold advanced to $481.28 from $476.45. In Hong Kong gold rose $7 to close at $479.65. Silver traded unchanged at $7.78.

The U.S. dollar traded mixed against other major currencies. The euro was quoted at $1.1669, down from $1.1686. The dollar bought 118.84 yen, down from 119.05. The British pound traded at $1.7178, up from $1.7163.

EARNINGS NEWS

Claire''s Stores, Inc (CLE: chart), retailer, reported Q3 net profit jumped 40% to 38 cents a share, from the year-ago period. Sales rose 10% and same-store sales 9%, partly on the success of the retailer''s back-to-school merchandise. The group stated it sees Q4 earnings excluding tax costs in the range of 66 cents to 68 cents a share on sales up between 5% and 6%.

Vivendi Universal (V: chart), French media and telecommunications group, stated Q3 profit from continuing operations dropped 36% to 894 million euros ($1.04 billion) from the year-ago quarter. Earnings without minority interests fell 36% to 647 million euros. Adjusted earnings went 17% down to 525 million euros. Sales for the period advanced 12% to 4.87 billion euros.

Limited Brands Inc (LTD: chart), retailer, reported a Q3 loss of 3 cents per share, down from a year-ago profit of 16 cents per share on weakness in its apparel division, which led to steep markdowns on merchandise. Sales were flat at $1.89 billion. Same-store sales dropped about 3 %.

Williams-Sonoma, Inc (WSM: chart), home products seller, announced that Q3 net income advanced 30% to 31 cents a share, on 14.5% revenue growth, beating analyst estimate of 30 cents a share. Comparable store sales increased 4.4% and footage advanced 10.6%.

Johnson Outdoors Inc (JOUT: chart), outdoor recreation company, announced that Q4 net earnings improved to a net loss of 39 cents per share, up vs. a net loss of 44 cents per share for the prior year period. Sales rose to $77.1 million in Q4, an increase of 2% compared to $75.6 million for the same period last year.

Shoe Carnival, Inc. (SCVL: chart), retailer of value-priced footwear and accessories, announced record sales and earnings for Q3. Net income rose 39.5% per share to 53 cents from 38 cents per share in the comparable period last year. Net sales for Q3 increased 12.3 % to a record $182.7 million from $162.7 million last year. Comparable store sales increased by 8.3 % for the 13-week period. Gross profit margin for latest quarter advanced to 29.5% from 29.1 % a year-ago. Selling, general and administrative expenses, as a percentage of sales, dropped to 23.1 % from 24.1 % for the comparable period.

The Children''s Place Retail Stores, Inc (PLCE: chart), apparel and accessories retailer, reported Q3 net income of $1.02 a share, up from 65 cents a share in the year-earlier period topping analyst estimate of 91 cents a share. If not for a one-off gain of $1.7 million, the company would have gained 96 cents a share. Sales for the quarter soared 57%. Same-store sales increased 6% over year-ago levels.

The J. M. Smucker Co. (SJM: chart), jelly maker, posted Q2 net income of 79 cents a share, up 14% from 69 cents a share in the year-earlier period. The company reported a 3% rise in revenue to, missing analysts’ forecasts of 81 cents a share.