U.S. stocks rose on Friday after President Hosni Mubarak resigned, helping clear Egypt's clouded political picture and lifting investor sentiment.
Two weeks of anti-government protests in Egypt had given rise to concern the unrest could spread across the region and contributed to volatility in markets worldwide.
There was concern that this could lead to rising commodity prices and a flight to the dollar and now some of that uncertainty has been removed, said Matthew Keator, partner in the Keator Group, a wealth management firm in Lenox, Massachusetts.
Market Vectors Egypt Index ETF
Egyptian Vice President Omar Suleiman said a military council would run the affairs of the most populous Arab nation. A free and fair presidential election has been promised for September, though some questioned the army's appetite for real democracy.
There's still uncertainty over the region, Keator said. And there's still potential for commodity prices to rise from this in the future.
The Dow Jones industrial average <.DJI> was up 38.52 points, or 0.31 percent, at 12,267.81. The Standard & Poor's 500 Index <.SPX> was up 6.77 points, or 0.51 percent, at 1,328.64. The Nasdaq Composite Index <.IXIC> was up 16.83 points, or 0.60 percent, at 2,807.28.
Kraft Foods Inc
Shares of mortgage insurers rose after the Obama administration presented options for overhauling the wrecked U.S. housing finance system. The administration pledged to continue backing existing obligations of government-controlled mortgage finance sources Fannie Mae
A drought in Northern China has hit 7.7 million hectares of winter wheat growing areas, which, coupled with strong demand, is lifting some agricultural processor stocks, according to optionMonster co-founder Jon Najarian. Agribusiness Bunge Ltd
On the S&P 500, the energy sector was one of the weakest performers as oil prices declined in parallel with a falling-off of worries of possible oil supply problems in the Middle East. The sector <.GSPE> fell 0.2 percent while March crude futures dropped 1.3 percent.
U.S.-listed shares of Nokia slumped 16.2 percent to $9.12. Dow component Microsoft was 0.8 percent lower at $27.27.
(Editing by James Dalgleish)