US stocks bounce back
In this Monday, June 11, 2012, file photo, Trader George Ettinger, left, works on the floor of the New York Stock Exchange. AP/Richard Drew/File
NEW YORK – US stocks bounced back Tuesday, reversing the previous day’s losses while shrugging off the specter of more turmoil in Europe.
Commodities, industrial equipment makers and banks led the market higher, while United Technologies was the Dow’s only loser, falling 0.3 percent after announcing a new $1.0 billion capital raising move.
At the close, the Dow Jones Industrial Average was up 162.57 points (1.31 percent) to 12,573.80.
The S&P 500-stock index added 15.25 (1.17 percent) to 1,324.18, while the tech-heavy Nasdaq Composite surged 33.34 points (1.19 percent) to 2,843.07.
“With the strong sell-off yesterday, it was a nice sign that the market reversed its course,” said Joe Bell of Schaeffer’s Investment Research.
“While many on Wall Street will be looking toward the Greek elections this weekend, the uncertainty surrounding euro-zone economics will continue to amplify the current volatility and trading range-type behavior.”
Mace Blicksilver of Marblehead Asset Management said that, Europe aside, US investors continue to look for some more stimulus from the Federal Reserve, although any decision could be weeks away.
Big industrial manufacturers did well: Caterpillar added 2.2 percent, Boeing jumped 3.5 percent, Deere & Co. rose 2.1 percent and engine maker Cummins added 4.6 percent.
JPMorgan Chase jumped 2.9 percent, Citigroup climbed 4.3 percent, Morgan Stanley rose 4.2 percent, and Bank of America was up 2.9 percent.
Gold and other miners surged as gold prices took a jump; Goldcorp rose 2.0 percent and Freeport-McMoran gained 1.9 percent.
Bonds retreated. The yield on the 10-year Treasury bond rose to 1.66 percent from 1.60 percent Monday, while the 30-year bond edged up to 2.77 percent from 2.72 percent.
Bond prices and yields move in opposite directions.
