US markets rose sharply on Thursday, with the S&P 500 index was up four straight days and the Dow closing above 10,000, after a rise in business productivity and a drop in jobless claims boosted confidence in the economy.

The Dow Jones industrial average was up 203.82 points, or 2.08 per cent, to end at 10,005.96. The Standard & Poor's 500 Index was up 20.13 points, or 1.92 per cent, at 1,066.63. The Nasdaq Composite Index was up 49.80 points, or 2.42 per cent, at 2,105.32.