U.S. stocks rose modestly on Tuesday after stronger-than-expected retail sales data, though gains were limited by some retailers' disappointing earnings.
U.S. retail sales rose in August at the fastest pace in 3 1/2 years, buoyed by government incentives for car purchases, according to the Commerce Department.
Limiting the gains were Best Buy Co Inc
The government report on retail sales gave further evidence of an economic recovery, said Charles Lieberman, chief investment officer at Advisors Capital Management in Paramus, New Jersey.
I expect retail sales to continue to grow, and that's more interesting and important than any one or two companies reporting disappointing results, he said.
The Dow Jones industrial average <.DJI> rose 22.07 points, or 0.21 percent, to 9,646.45. The Standard & Poor's 500 Index <.SPX> rose 0.53 points, or 0.05 percent, to 1,049.87. The Nasdaq Composite Index <.IXIC> gained 6.14 points, or 0.29 percent, to 2,097.96.
Financial companies, meanwhile, reported worsening consumer credit. JPMorgan Chase & Co
JPMorgan fell 0.6 percent to $43.48 while Discover was off 1.4 percent to $14.82.
In addition, Capital One
The Nasdaq got a boost after analysts' upgrades of Web auctioneer eBay
Shares of Citigroup Inc
Federal Reserve Chairman Ben Bernanke, speaking at the Brookings Institution on the one-year anniversary of the collapse of Lehman Brothers
(Reporting by Ryan Vlastelica; Editing by Kenneth Barry)