Stocks gain in a holiday-shortened session Thursday after a strong jobs report for June and as the House looks to vote on President Trump's tax-and-spending bill.

The June jobs report, set for release Thursday, is expected to end the holiday-shortened week with a bang. Any labor market weakness will be closely watched as it could strengthen the case for an interest rate cut from the Federal Reserve sooner rather than later.

The strong jobs report also spurred a spike in Treasury yields and reduced expectations for the Federal Reserve to cut interest rates soon.