Stocks rose on Wednesday after a successful share offering from Bank of America boosted optimism about the financial sector, and McDonald's and Procter & Gamble jumped after bullish analyst comments.
Bank of America Corp
Energy shares also advanced as U.S. crude oil futures rose above $61 a barrel to touch a new six-month high amid bullish inventory data and a spate of U.S. refinery accidents. Exxon Mobil Corp
Analysts said the recent sharp stocks rally from bear market lows in March could have more to go if investors who missed the run-up jump in.
One of the differences in this market since early March is that pullbacks, whether they've been intraday or over the course of several days, have been buying opportunities compared to the previous six months where the rallies were selling opportunities, said Henry Smith, chief investment officer at Haverford Trust Co in Philadelphia.
The Dow Jones industrial average <.DJI> rose 100.19 points, or 1.18 percent, to 8,575.04. The Standard & Poor's 500 Index <.SPX> gained 14.15 points, or 1.56 percent, to 922.28. The Nasdaq Composite Index <.IXIC> climbed 25.72 points, or 1.48 percent, to 1,760.26.
The S&P 500 is up more than 36 percent from the 12-year low in early March as investors became increasingly optimistic that the economy and financial system was stabilizing. Analysts noted that data will need to start showing firmer signs of improvement to sustain the positive sentiment.
Minutes from the U.S. Federal Reserve's policy-setting meeting are to be released at 2:00 p.m. EDT. Investors will watch for more clues on the economy.
No. 2 U.S. discount retailer Target Corp
Shares of Deere & Co
On the downside, Hewlett-Packard Co
(Reporting by Leah Schnurr; editing by Jeffrey Benkoe)