Stocks rose on Friday, putting the S&P 500 on pace for its biggest weekly gain in the past five weeks, led by solid earnings from McDonald's, General Electric and Microsoft.
General Electric Co's
As earnings season moves into high gear, the first wave of results has been substantially stronger than expected, with 81 percent of companies exceeding expectations thus far, according to Thomson Reuters data.
That has helped stocks regain their footing after a recent pullback on less-than-inspiring economic figures and renewed worry about Europe's debt crisis.
Yesterday there was some concern that McDonald's might miss, but they matched and had strong same-store sales growth. GE beat their number. Overall, it continues to be another good earnings season, said Peter Jankovskis, co-chief investment officer at OakBrook Investments LLC in Lisle, Illinois.
They are good signs the economy remains on track. It's not super growth, but it's growth.
The Dow Jones industrial average <.DJI> gained 107.24 points, or 0.83 percent, to 13,071.34. The Standard & Poor's 500 Index <.SPX> rose 9.19 points, or 0.67 percent, to 1,386.11. The Nasdaq Composite Index <.IXIC> advanced 22.69 points, or 0.75 percent, to 3,030.25.
Industrial conglomerate Honeywell International Inc
The S&P industrial sector index <.GSPI>, up 1.1 percent, was the top performing S&P sector.
Oilfield services company Schlumberger NV's
(Editing by Padraic Cassidy)