Stocks end higher but in the lower end of the day's range, clocking between a 0.6% and 0.75% advance.

Stocks gained broadly after retailers posted solid September sales, surprising many analysts. Alcoa kicked off earnings season with an unexpected profit and the Labor Department reported a drop in weekly jobless claims. In addition, the European Central Bank and the Bank of England left rates unchanged at record lows, which lent stocks worldwide some support.

Before the market opened, the Labor Department said new claims for jobless benefits fell to 521,000 last week, down from 554,000 the previous week and better than analysts' expectations. It was the lowest level since early January. Continuing claims fell to 6.04 million, better than the slight increase analysts had expected.

Wholesale inventories data at midmorning did little to move the markets. Wholesale inventories fell 1.3% in August, worse than the 1% drop economists had expected. That followed a 1.6 percent drop in July initially reported as a 1.4% decrease. But sales at the wholesale level rose a better-than-expected 1%, the fifth straight gain and the largest increase since June 2008.

September same-store sales lifted shares of retailers, many of which also reaffirmed or boosted third-quarter expectations. Target (TGT) reported same-store sales fell only 1.7%, and it expects Q3 to beat the consensus estimate of 43 cents a share. Macy's (M) also reported a smaller-than-expected same-store sales decline of 2.3%.

Discount retailers TJX Companies (TJX) and Ross Stores (ROST) reported September same-store sales and raised EPS outlooks.

J.C. Penney (JCP) said September same-store sales fell 12.4%. JCP increased its Q3 estimate, but it still was in line with Street views. JCP also agreed to be the exclusive distributor for some Liz Clairborne lines. LIZ jumps on the news.

Earnings provided a lift as Alcoa (AA) reported an unexpected profit after hours Wednesday. Pepsico (PEP) also rose as it posted Q3 EPS of $1.09, topping views, and reaffirmed guidance.