US stocks were mixed through midday Thursday following the latest economic data, a day after the Federal Reserve voted to keep interest rates unchanged.

The Nasdaq Composite fell 0.2% to 17,711.5, while the S&P 500 dipped 0.1% to 5,668.1. The Dow Jones Industrial Average was virtually flat at 41,969.7 after midday. Technology and consumer staples led the sector decliners, while energy headed the gainers.

In economic news, weekly applications for unemployment insurance in the US rose less than projected, while continuing claims moved higher, government data showed Thursday.

"Businesses have done well to preserve margin by reducing labor costs via attrition, shorter hours and part-time employment (often demanded by workers) to mitigate slack, rather than mass layoffs," Jefferies Chief US Economist Thomas Simons said in an emailed note. "There will be idiosyncratic layoffs from individual firms that are struggling, but we do not see much evidence that a bigger wave of indiscriminate layoffs in the private sector is coming."

The report confirms "no current evidence of substantial layoffs" in the labor market through a cut off in federal spending from the Department of Government Efficiency, according to Simons. "There is a possibility that we see more significant declines in Federal employment over the course of the year, but we are not seeing it yet," he said.

On Wednesday, the Federal Open Market Committee held interest rates steady in the 4.25% to 4.5% range. It kept its policy outlook intact through 2027 while downgrading its economic projections.

The Fed indicated that it's "not particularly worried about the health of the labor market," Simons said. "Their current policy framework suggests that if the labor market were to weaken unexpectedly, they'd (be) able to ease policy accordingly," he said.

Separately, National Association of Realtors data showed Thursday that US existing home sales rebounded unexpectedly in February.

US Treasury yields dropped intraday, with the two-year rate down 1.3 basis points at 3.97% and the 10-year yield down 1.9 basis points to 4.24%.

In company news, manufacturing-solutions provider Jabil (JBL) lifted its full-year outlook after reporting better-than-expected fiscal second-quarter results. Its shares were up 5% in afternoon trade. Darden Restaurants' (DRI) rose 4.2% despite missing fiscal third-quarter revenue estimates. Jabil and Darden were the biggest gainers on the S&P 500.

Accenture (ACN) was the worst performer on the S&P 500, falling 7.7% after pointing to a potential slowdown in federal revenue amid federal spending cuts.

Earnings from Micron (MU), Nike (NKE), FedEx (FDX) and Lennar (LEN, LEN.B) are due after the closing bell today.

In mergers and acquisition news, Beacon Roofing Supply (BECN) agreed to be acquired by QXO (QXO) in an $11 billion deal. Japan's SoftBank agreed to buy artificial intelligence-focused chip design company Ampere Computing from Carlyle Group (CG) and Oracle (ORCL) for $6.5 billion.

West Texas Intermediate crude climbed 1.8% to $68.34 per barrel by Thursday afternoon.

Gold edged up 0.1% at $3,044.7 per troy ounce, while silver dipped 0.6% to $33.99 per ounce.