by Laura Conaway

Good morning, and welcome back to Thursday's headlines.

UPDATE: New claims for unemployment benefits fell last week by 33,000, to 521,000, the Department of Labor reports. The four-week moving average continued its decline, falling by 9,000 to 539,750.

The Dow Jones industrial average closed above 10,000 yesterday for the first time in more than a year.

Goldman Sachs is reporting profits of $3.19 billion in the third quarter. Citigroup says it made $101 million.

Treasury officials would like more of the big banks to repay their TARP bailout money already, and some of those banks may not want to just yet.

The public option is alive and kicking as Congress considers the next steps in overhauling health care. So is the debate over whether current bills carry stiff enough penalties to persuade uninsured Americans to buy coverage.

Baseline Scenario goes deep on the question of whether the rise of smart people on Wall Street caused the financial crisis.