US stocks rally after upbeat home price data
A trader works on the floor of the New York Stock Exchange on June 21, 2012 in New York City. AFP FILE PHOTO
NEW YORK — US stocks scored solid gains Tuesday, lifted by positive data on home prices that offset another decline in consumer confidence.
The Dow Jones Industrial Average finished the session up 32.01 points (0.26 percent) at 12,534.67.
The S&P 500 index advanced 6.27 (0.48 percent) to 1,319.99, while the tech-rich Nasdaq rose 17.90 (0.63 percent) to 2,854.06.
“Following yesterday’s sizable sell-off, US equities managed to gain ground in today’s session, keying off another favorable read in domestic home price data and some upbeat corporate news,” Charles Schwab & Co. analysts said.
The advance came “despite continued worries over the eurozone ahead of this week’s key EU summit, as well as a disappointing consumer confidence report.”
Giving the bulls a shot in the arm was the S&P Case-Shiller price index for 20 major US cities, which rose for the third straight month in April.
The Conference Board reported that consumers grew more pessimistic about the economy for the fourth consecutive month in June.
Rupert Murdoch’s News Corporation soared 8.3 percent to $21.96 after saying it is considering a split into two publicly traded companies, separating its publishing assets from its bigger entertainment arm.
Microsoft rose 0.5 percent. On Monday the software giant unveiled a $1.2 billion cash takeover of Yammer, a startup that specializes in social networks for businesses.
Coca-Cola added 0.4 percent. The soft drinks giant and its local bottlers announced they would invest $5 billion in India by 2020, $3 billion more than initially planned.
Investment firm KKR dipped 0.1 percent after reporting it was looking to invest $2 billion in energy in the coming weeks.
The bond market retreated. The yield on 10-year Treasury rose to 1.63 percent from 1.61 percent Monday, while the 30-year yield climbed to 2.70 percent from 2.68 percent.
Bond prices and yields move in opposite directions.
