NEW YORK, Sept. 21 (Xinhua)-- U.S. stocks retreated on Thursday amid worry of economy recession, as oil prices rallied and the Philadelphia Fed's index of current activity fell to negative 0.4.

    On the economic data front, the U.S. Labor Department said first-time claims for state unemployment benefits rose in the latest week by 7,000 to 318,000, above the average economist estimate compiled by Market Watch of 312,000. Continuing claims fell by 29,000 to 2.46 million.

    The Philadelphia Fed said on Thursday its index of current activity fell from 18.5 in August to negative 0.4 this month. Indicators for general activity, new orders and shipments fell substantially from August and suggested no growth for September. The negative data kindled investor's worry of economy recession.

    World oil prices rallied on Thursday after successive falling. New York's main contract, light sweet crude for delivery in November, climbed 85 cents to close with 61.59 dollars per barrel. In the closing trading, the Dow Jones industrial average fell 79.96, or 0.69 percent, to 11,533.23. The Standard & Poor's 500 index, which reached a five and a half year high Wednesday, fell 7.15, or 0.54 percent, to 1,318.03 and the Nasdaq composite index shed 15.14, or 0.67 percent, to 2,237.75. Enditem