The tech-heavy Nasdaq led gains on Wall Street on Thursday as a dip in Treasury yields supported megacap stocks, though investors remained cautious ahead of inflation data and the Federal Reserve's policy meeting next week.

The two-year Treasury yield , which tends to move in step with short-term rate expectations, slipped from one-week highs to 4.5% after a sharp jump in weekly jobless claims signaled a softening labor market.

Traders have priced in a 73% chance of the U.S. central bank holding interest rates at the current 5%-5.25% range during its monetary policy meeting on June 13-14, according to CMEGroup's Fedwatch tool. However, they see a 50% chance of a rate hike in July.

At 11:48 a.m. ET, the Dow Jones Industrial Average was up 65.71 points, or 0.20%, at 33,730.73, the S&P 500 was up 15.22 points, or 0.36%, at 4,282.74, and the Nasdaq Composite was up 115.45 points, or 0.88%, at 13,220.35.

Source : Reuters