Trader's Highlight

DJI-NEW YORK, July 7 (Reuters) - U.S. stocks closed sharply higher and the Nasdaq notched an eighth day of gains on Thursday as improved labor market and retail sales data added to optimism a day before the critical June payrolls report.

Equities have been on a tear recently as improving economic data and a potential resolution to Greece's fiscal issues paved over fears of slowing growth and contagion stemming from the euro zone's debt crisis.

The Nasdaq's 8.3 percent gain over the past eight trading sessions is the most for the index in two years and the S&P's 6.7 percent rise is its best since September 2010, as the market reacted to news of the Fed's second round of stimulus. The Dow is up 6.6 percent over the same period.

The Dow Jones industrial average .DJI shot up 93.47 points, or 0.74 percent, to 12,719.49. The Standard & Poor's 500 Index .SPX gained 14 points, or 1.05 percent, to 1,353.22. The Nasdaq Composite Index .IXIC climbed 38.64 points, or 1.36 percent, to 2,872.66.

NYMEX-NEW YORK, July 7 (Reuters) - U.S. crude futures ended 2 percent higher on Thursday as data on better-than-expected private sector hiring, jobless claims and retail sales reports fueled hopes that economic growth was on the rebound.

Brent crude futures pushed more than 4 percent higher, lifting Brent's premium to U.S. crude CL-LCO1=R above $20 a barrel intraday.

The positive economic data overshadowed government oil inventory data that showed crude stocks fell only 889,000 barrels last week, much less than expected

On the New York Mercantile Exchange, August crude CLQ1 rose $2.02, or 2.09 percent, to settle at $98.67 a barrel, trading from $96.99 to $99.42, highest intraday since front-month crude reached $99.95 on June 15.

CBOT-SOYBEANS-Soybean futures on the Chicago Board of Trade closed higher on concerns about forecasts for warmer and drier weather in the U.S. Midwest, traders said.

A drop in the U.S. dollar index added support, along with spillover from higher crude oil prices.

But trade was light for a third straight session, with volume in soybean futures about one-third below the prior 30-day average.

FCPO-JAKARTA, July 7 (Reuters) - Malaysian palm oil futures extended gains late on Thursday, supported by technical buying and investor positioning ahead of key stock data next week, with gains capped by a rate hike in top palm importer China.

The benchmark September crude palm oil contract KPOc3 on Bursa Malaysia Derivatives ended 0.8 percent higher at 3,054 Malaysian ringgit ($1,014) a tonne. Earlier, prices touched a high at 3,064 ringgit.

Traded volume for the September contract was thin at 10,052 lots of 25 tonnes each, versus 13,473 lots on Wednesday.

REGIONAL EQUITIES-BANGKOK, July 7 (Reuters) - Most Southeast Asian stock markets gained on Thursday as investors looked for bargains from regional blue chips and banks, while Singapore's property developers rose as hopes of a pause in policy tightening by China eased concerns over growth.

Market players returned to beaten-down emerging markets, reversing a two-day fall in stocks in Singapore .FTSTI, Indonesia .JKSE and Thailand .SETI. Malaysia .KLSE pushed to a record high at one point before ending a tad lower.

After the market close, Malaysia's central bank held interest rates steady at 3 percent, surprising financial markets which had been betting on a rise, as the authorities braced for growth to slow due to weaker global demand.

In Singapore, property shares rose as easing concerns over China's economic growth led investors to find value in the sector, led by a 1.7 percent climb in the biggest developer CapitaLand CATL.SI.