Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

U.S. stocks broadly higher after the open; Dow Jones up 0.73%

Published 12/07/2010, 09:54 AM
NDX
-
UK100
-
FCHI
-
DJI
-
DE40
-
STOXX50
-
C
-
BAC
-
BHPB
-
GAS
-
GC
-
HG
-
CL
-
NG
-
FTNMX551030
-
Investing.com – U.S. stocks were broadly higher after the open on Tuesday, as market sentiment was boosted by hopes that Ireland’s parliament would approve an austerity budget and after President Obama agreed to extend tax cuts.      

During early U.S. trade, the Dow Jones Industrial Average jumped 0.73%; the S&P 500 index surged 0.84%, while the Nasdaq Composite index soared 0.89%.

On Monday, President Barack Obama said he would agree to extend Bush-era tax cuts for high-income taxpayers and renew jobless benefits for millions of Americans.

Meanwhile, shares in the financial sector were broadly higher amid hopes that Ireland's austerity budget would be approved later in the day, opening the way for a rescue package to shore up the country's finances. 

Shares in the second-largest U.S. lender JP Morgan-Chase jumped 1.09%, rivals Bank of America surged 1.46%, while U.S. listed shares of Bank of Ireland soared 20.83%. 

Within the sector, shares in Citigroup added 2.81% after the U.S. Treasury Department said it sold its remaining stock in the lender for approximately USD 10.5 billion.

Elsewhere, shares in the commodity sector performed strongly after crude oil prices advanced to a 26-month high and gold prices rose to a record high.

Shares in oil and gas giant Exxon-Mobil jumped 1.93%, U.S. listed shares of the world’s largest mining group BHP Billiton surged 2.73%, while shares in metal producer Freeport McMoran Copper & Gold rallied 2.51%.   

In deal news, shares in Chicago-based natural gas distributor Nicor Inc. rallied 4.66% after the company agreed to be bought by AGL Resources for approximately USD 2.4 billion. Shares in AGL tumbled 4.39% following the news.

Meanwhile, internet giant Google saw shares soar 2.25% after it launched eBookstore, an online bookstore, late Monday.

Across the Atlantic, European stock markets posted sharp gains: the EURO STOXX 50 rallied 1.64%, France’s CAC 40 jumped 2.01%, Germany's DAX added 1.03%, while Britain's FTSE 100 surged 1.08%.

Later in the day, the U.S. was to publish data on economic optimism and consumer credit.


Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.