Global Stocks

Stocks across Europe advanced Thursday, remaining on higher ground after the Bank of England surprised markets by holding its key interest rate unchanged, in the central bank's first monetary-policy decision after the U.K.'s historic Brexit vote.

In a widely unexpected move, the Bank of England left unchanged its key interest rate at a record low of 0.5%. Markets had priced in the chances of the first rate cut since March 2009 as policy makers are seeing a "challenging" outlook for the British economy after the U.K.'s June 23 vote to exit the European Union.

U.S. stocks extended their run into the record books Thursday as the Dow industrials and the S&P 500 notched new closing highs.

Stronger-than-expected results from large financial institutions, including J.P. Morgan Chase, as well as upbeat economic data, powered the climb, which has added to a record run by stocks.

The S&P 500 SPX, +0.53% rose 11.32 points, or 0.5%, to close at 2,163.75, with the financial, materials, and tech sectors leading the gains. The benchmark index reached an intraday high of 2,168.99. The index closed at an all-time high for a fourth-straight day, its longest such streak since November 2014, according to Dow Jones data.

The Dow industrials DJIA, +0.73% advanced 134.29 points, or 0.7%, to close at 18,506.41, after touching an intraday high of 18,537.57. The blue-chip gauge has registered its third straight record close.

The Nasdaq Composite Index COMP, +0.57% advanced 28.33 points, or 0.6%, to finish at 5,034.06, for its highest close of 2016. For the year, the index is up 0.5%.

Asian shares extended gains to eight-month highs on Friday, on track for a solid weekly rise, as better-than-expected economic data from China lifted risk sentiment that was already buoyant after record highs on Wall Street.

China's economy grew 6.7 percent in the second quarter from a year earlier, steady from the first quarter and slightly better than expected as the government stepped up efforts to stabilize growth in the world's second-largest economy.

Industrial output and retail sales also beat forecasts, which helped alleviate fears of slowing momentum, though fixed-asset investment growth slipped and missed market expectations.