Midday Report: Retail Bucks Selloff Trend; J.C. Penney Climbs

U.S. stocks pared the worst of the day's losses on Thursday, though remained in the red after another rout on Chinese markets. Chinese officials decided to suspend the circuit-breaker system that went into effect this year after the mechanism was triggered twice in just four days. Retail stocks moved higher bucked the selloff as investors grew less worried over the effect of a warmer winter on sales. J.C. Penney (JCP) reported a rise in holiday-period sales, boosting shares of competitors including Gap (GPS), Urban Outfitters (URBN), and Target (TGT). Footwear retailer Finish Line (FINL) tumbled after announcing plans to close a quarter of its stores over the next four years. The 150 stores on the chopping block generate average yearly sales of $1 million. TheStreet's Keris Lahiff reports from Wall Street.