* Weekly unemployment claims of 885,000 versus 862,000 in the previous week
* S&P 500 technology, consumer discretionary sectors hit intraday record highs
* Alphabet drops after states file antitrust charges
* (Updates at close of trading)
Dec 17 (Reuters) – Wall Street’s three main indices closed at record highs on Thursday as investors became more optimistic about a coronavirus stimulus bill, which allowed markets to see past signs of economic tensions from the COVID-19 pandemic.
The S&P 500 technology and consumer discretionary indexes hit intraday record highs.
A wave of technology outsourcing company Accenture gave the S&P 500 a huge boost.
Top Republicans and Democrats got closer to agreeing on another round of aid in response to a crisis that killed nearly 309,000 Americans and left millions unemployed.
Many investors saw the adoption of new measures to support the economy as imminent, after data showed that the number of Americans applying for unemployment benefits for the first time rose unexpectedly last week.
That followed a lecture on Wednesday that showed that US retail sales fell more than expected in November as consumer spending remained subdued.
“It’s all about incentives today and expectations of a path to the deal,” said Ryan Giannotto, director of research at GraniteShares in New York City.
Vaccine developments also lifted the market, with Moderna Inc awaiting US approval for the deployment of what would be the country’s second COVID-19 vaccine.
The S&P 500, Dow Jones Industrial Average, Nasdaq and Russell 2000 index of smaller companies all closed at their all-time high.
The S&P 500 is up about 15% in 2020, despite the economic destruction caused by the corona virus.
Unofficially, the Dow Jones Industrial Average rose 0.49% to finish at 30,301.79 points, while the S&P 500 rose 0.57% to 3,722.43.
The Nasdaq Composite climbed 0.84% to 12,764.
“In the very short term, I think we’re a little bit overbought here,” said Randy Frederick, vice president of trading and derivatives at Charles Schwab.
He noted that the best-performing sectors such as technology were most at risk of a downturn, while some of the “more unloved sectors” such as financial services and energy received new attention as investors searched for bargains.
Google parent Alphabet dived in after a group of 38 US states and territories filed an antitrust suit accusing Google of expanding its search monopoly to dominate smart speakers, televisions and cars.
Accenture sprang up after increasing its annual sales forecast and exceeding quarterly revenue expectations as an extended period of working from home boosted its digital, cloud and security services.
General Mills Inc rose after it exceeded second-quarter earnings expectations, boosted by sales of its pet foods and baked goods.
Additional reporting by Ambar Warrick and Shreyashi Sanyal in Bengaluru; Editing by Aurora Ellis