Stocks rallied, with the Dow ending just shy of  its session high, after an unexpected drop in jobless claims and solid sales reports from some retailers including Wal-Mart. A credit-rating downgrade on bond insurers spurred a quick dip but stocks quickly bounced back.  Oil closed near $128 a barrel.

Stocks rallied, with the Dow posting a triple-digit point gain, helped by an unexpected drop in jobless claims and solid sales reports from some retailers including Wal-Mart.

Stocks rallied, with the Dow posting a triple-digit point gain, helped by an unexpected drop in jobless claims and solid sales reports from some retailers including Wal-Mart.

Stocks rallied, with the Dow posting a triple-digit point gain, helped by an unexpected drop in jobless claims and solid sales reports from some retailers including Wal-Mart.

Verizon is deep in talks to acquire Alltel, the nation's fifth largest wireless carrier, for roughly $27 billion, people close to the talks have told CNBC.