Investing.com - U.S. stock prices finished Friday in positive territory after traders bought on solid sentiment and manufacturing data, brushing off concerns that inbound government spending cuts could trim growth rates for the year.
At the close of U.S. trading, the Dow Jones Industrial Average finished up 0.25%, the S&P 500 index ended up 0.23%, while the Nasdaq Composite index gained 0.30%.
Automatic spending cuts totaling USD85 billion were due to begin taking effect in the U.S. at the end of Friday, which could affect many federal programs and result in lost government and private-sector jobs, shaving as much as half a percentage point off growth rates for this year, according to some estimates.
Uncertainty as to whether President Barack Obama and congressional Republicans can find common ground to take the pain out of sharp fiscal adjustments failed to rattle nerves in equities markets as it did elsewhere, as fourth-quarter earnings continue to please Wall Street.
Solid data released earlier boosted stock prices as well.
The Institute for Supply Management reported earlier that its manufacturing PMI rose to 54.2 in February, the highest level since June and well above a 53.1 reading in January.
Analysts had expected the February index to fall to 52.5.
The Thomson Reuters/University of Michigan consumer sentiment index rose to 77.6 in February from 76.3 the previous month.
Analysts had expected the index to remain unchanged.
Leading Dow Jones Industrial Average performers included Wal-Mart, up 1.48%, Walt Disney, up 1.41%, and IBM, up 1.03%.
The Dow Jones Industrial Average's worst performers included Caterpillar, down 1.12%, Alcoa, down 0.94%, and United Technologies, down 0.45%.
European indices, meanwhile, where largely lower.
After the close of European trade, the EURO STOXX 50 fell 0.64%, France's CAC 40 fell 0.62%, while Germany's DAX 30 finished down 0.43%. Meanwhile, in the U.K. the FTSE 100 finished up 0.28%.
At the close of U.S. trading, the Dow Jones Industrial Average finished up 0.25%, the S&P 500 index ended up 0.23%, while the Nasdaq Composite index gained 0.30%.
Automatic spending cuts totaling USD85 billion were due to begin taking effect in the U.S. at the end of Friday, which could affect many federal programs and result in lost government and private-sector jobs, shaving as much as half a percentage point off growth rates for this year, according to some estimates.
Uncertainty as to whether President Barack Obama and congressional Republicans can find common ground to take the pain out of sharp fiscal adjustments failed to rattle nerves in equities markets as it did elsewhere, as fourth-quarter earnings continue to please Wall Street.
Solid data released earlier boosted stock prices as well.
The Institute for Supply Management reported earlier that its manufacturing PMI rose to 54.2 in February, the highest level since June and well above a 53.1 reading in January.
Analysts had expected the February index to fall to 52.5.
The Thomson Reuters/University of Michigan consumer sentiment index rose to 77.6 in February from 76.3 the previous month.
Analysts had expected the index to remain unchanged.
Leading Dow Jones Industrial Average performers included Wal-Mart, up 1.48%, Walt Disney, up 1.41%, and IBM, up 1.03%.
The Dow Jones Industrial Average's worst performers included Caterpillar, down 1.12%, Alcoa, down 0.94%, and United Technologies, down 0.45%.
European indices, meanwhile, where largely lower.
After the close of European trade, the EURO STOXX 50 fell 0.64%, France's CAC 40 fell 0.62%, while Germany's DAX 30 finished down 0.43%. Meanwhile, in the U.K. the FTSE 100 finished up 0.28%.