U.S. stocks rose on Thursday after quarterly results from insurer Travelers and regional bank PNC Financial gave a boost to financial stocks.
Financials were among the top gainers after insurer Travelers Cos Inc
Adding to the positive tone, New York Fed President William Dudley said the Federal Reserve may not lose money on the emergency programs it put in place to fight the financial crisis.
The S&P financial index <.GSPF> added 2.9 percent and the KBW Bank Index <.BKX> jumped 3.4 percent.
Solid earnings from several companies, including Dow components 3M
After the closing bell, online retailer Amazon.com
The market has been supported by consistent news of better- than-expected earnings and fairly good guidance, according to Robert Lutts, chief investment officer of Cabot Money Management in Salem, Massachusetts.
Regional banks came out with OK results. They talked about deterioration in assets definitely at a slower pace and there were indications some parts of the loan books were stabilizing and improving, Lutts said.
The Dow Jones industrial average <.DJI> gained 131.95 points, or 1.33 percent, to 10,081.31. The Standard & Poor's 500 Index <.SPX> rose 11.51 points, or 1.06 percent, to 1,092.91. The Nasdaq Composite Index <.IXIC> added 14.56 points, or 0.68 percent, to 2,165.29.
SNAPPING UP J CREW AND BUILDERS, TOO
Shares of J Crew Group Inc
J Crew led retailers higher, with the S&P retail index <.RLX> up 1.7 percent.
The New York Times Co
Shares of home builders also ranked among the top gainers, with the Dow Jones U.S. home construction index <.DJUSHB> up 5.3 percent. Shares of KB Home
Housing and Urban Development Secretary Shaun Donovan said earlier this week the administration would decide in coming weeks whether it backs an extension of the current tax credit for first-time home buyers, set to expire on November 30.
Volume was moderate on the New York Stock Exchange, with about 1.32 billion shares changing hands, below last year's estimated daily average of 1.49 billion. On the Nasdaq, about 2.30 billion shares traded, slightly above last year's daily average of 2.28 billion.
Advancing stocks outnumbered declining ones on the NYSE by a ratio of about 2 to 1, while on the Nasdaq, nearly eight stocks rose for every five that fell.
(Editing by Jan Paschal)