Investing.com - U.S. stocks were higher on Wednesday, after data showed that the U.S. economy grew at a faster rate than initially estimated in the fourth quarter while markets remained jittery after the European Central Bank’s loan operation.
During early U.S. trade, the Dow Jones Industrial Average rose 0.30%, the S&P 500 index added 0.40%, while the Nasdaq Composite index advanced 0.37%.
The U.S. Bureau of Economic Analysis said earlier that gross domestic product increased at an annual rate of 3.0% during the fourth quarter, up from a preliminary estimate of 2.8%.
Analysts had expected the second estimate of U.S. GDP to remain unchanged at 2.8%.
Earlier in the day, the ECB allotted EUR529 billion in three-year loans to European lenders, after receiving bids from 800 banks, significantly more than in the bank’s first long term refinancing operation late last year.
The high uptake on the operation sparked concerns that banks in the region expect liquidity pressures to continue.
Financial stocks were mostly higher as U.S. lenders tracked their European counterparts. JP Morgan rose 0.54% and Bank of America added 0.49%, while Citigroup advanced 0.39%.
JPMorgan Chief Financial Officer, Doug Braunstein, said the bank aimed to lift profits by 25% and was targeting an annual net income of USD24 billion, up from the USD19 billion it earned last year.
Meanwhile, Goldman Sachs lost 0.41% after saying it may face, with Wells Fargo, federal enforcement action related to mortgage-backed securities deals leading into the financial crisis.
Apple contributed to gains, with shares jumping 1.98% as a faster, amid reports that iPad 3 launch may be imminent.
Elsewhere, Costco saw shares climb 1.68% after the warehouse club operator topped earnings that topped expectations, thanks to its lower-priced gasoline that drew more customers to stores.
In the energy sector, Chevron gained 0.65% after an injunction to suspend the Brazilian operations of the U.S. oil major and offshore oil-rig contractor Transocean over a November oil spill northeast of Rio de Janeiro was declined by a federal judge in Brazil.
Across the Atlantic, European stock markets were higher. The EURO STOXX 50 climbed 0.80%, France’s CAC 40 rose 0.84%, Germany's DAX advanced 0.73%, while Britain's FTSE 100 eased up 0.10%.
During the Asian trading session, Hong Kong's Hang Seng Index rose 0.35%, while Japan’s Nikkei 225 Index added 0.1%.
Also Wednesday, data showed that manufacturing activity rose more-than-expected in the Chicago area in February.
Later in the day, Federal Reserve Chairman Ben Bernanke was to testify on the semi-annual monetary policy report before the House Financial Services Committee in Washington.
During early U.S. trade, the Dow Jones Industrial Average rose 0.30%, the S&P 500 index added 0.40%, while the Nasdaq Composite index advanced 0.37%.
The U.S. Bureau of Economic Analysis said earlier that gross domestic product increased at an annual rate of 3.0% during the fourth quarter, up from a preliminary estimate of 2.8%.
Analysts had expected the second estimate of U.S. GDP to remain unchanged at 2.8%.
Earlier in the day, the ECB allotted EUR529 billion in three-year loans to European lenders, after receiving bids from 800 banks, significantly more than in the bank’s first long term refinancing operation late last year.
The high uptake on the operation sparked concerns that banks in the region expect liquidity pressures to continue.
Financial stocks were mostly higher as U.S. lenders tracked their European counterparts. JP Morgan rose 0.54% and Bank of America added 0.49%, while Citigroup advanced 0.39%.
JPMorgan Chief Financial Officer, Doug Braunstein, said the bank aimed to lift profits by 25% and was targeting an annual net income of USD24 billion, up from the USD19 billion it earned last year.
Meanwhile, Goldman Sachs lost 0.41% after saying it may face, with Wells Fargo, federal enforcement action related to mortgage-backed securities deals leading into the financial crisis.
Apple contributed to gains, with shares jumping 1.98% as a faster, amid reports that iPad 3 launch may be imminent.
Elsewhere, Costco saw shares climb 1.68% after the warehouse club operator topped earnings that topped expectations, thanks to its lower-priced gasoline that drew more customers to stores.
In the energy sector, Chevron gained 0.65% after an injunction to suspend the Brazilian operations of the U.S. oil major and offshore oil-rig contractor Transocean over a November oil spill northeast of Rio de Janeiro was declined by a federal judge in Brazil.
Across the Atlantic, European stock markets were higher. The EURO STOXX 50 climbed 0.80%, France’s CAC 40 rose 0.84%, Germany's DAX advanced 0.73%, while Britain's FTSE 100 eased up 0.10%.
During the Asian trading session, Hong Kong's Hang Seng Index rose 0.35%, while Japan’s Nikkei 225 Index added 0.1%.
Also Wednesday, data showed that manufacturing activity rose more-than-expected in the Chicago area in February.
Later in the day, Federal Reserve Chairman Ben Bernanke was to testify on the semi-annual monetary policy report before the House Financial Services Committee in Washington.