Business Blog Posts

The technology sector showed strength, with Nvidia Corp (NVDA.O) up 9.8 percent to $25.68 a day after posting a bullish revenue forecast on accelerating sales of its processors.

An index of semiconductors' shares .SOX gained 1.4 percent and is now up 21.3 percent since early December, around the time when the most recent leg of the run-up started.

The S&P energy sector .GSPE gained 0.8 percent. U.S. crude futures jumped 1.7 percent as unrest in the Middle East kept focus on supply, boosting shares of energy companies.

Futures had dipped early in the session after data showed both a rise in consumer prices and new claims for unemployment benefits, but the dip didn't last long after the open.

"People have been focusing on the positives like the outlook for corporations and a good earnings season," said Brian Lazorishak, a money manager at Chase Investment Counsel in Charlottesville, Virginia.

Stocks continued to ignore Iran's intention to send two navy vessels through the Suez Canal to the Mediterranean in a move Israel has called a "provocation".

"Geopolitical issues have been pushed aside, maybe prematurely," Lazorishak said.

The S&P 500 has doubled its value in less than two years, the quickest 100 percent gain since the Great Depression. However, volume has been light in the most recent leg of the rally, with just 6.7 billion shares changing hands Thursday on the New York Stock Exchange, NYSE Amex and Nasdaq combined -- the second-lowest so far in 2011.

The Dow Jones industrial average .DJI gained 29.97 points, or 0.24 percent, to 12,318.14. The Standard & Poor's 500 Index .SPX rose 4.11 points, or 0.31 percent, to 1,340.43. The Nasdaq Composite Index .IXIC added 6.02 points, or 0.21 percent, to 2,831.58.

Advancing stocks outnumbered declining ones on the NYSE by a ratio of about 5 to 3, while on the Nasdaq, about three stocks rose for every two that fell.

The S&P 500 faces little technical resistance before the 1,361 area that marks the 76.4 percent retracement of its slide from the 2007 highs to the low hit on March 6, 2009.

A Fibonacci projection of the latest leg of the rally also draws a target near 1,361, suggesting the S&P could face strong resistance at that level.

Dr Pepper Snapple Group Inc (DPS.N) posted quarterly profit that beat estimates and gave an upbeat forecast and its shares jumped 5.7 percent to $36.20.

Its competitor Coca Cola Co (KO.N) was the top gainer in the Dow industrials, up 1.8 percent to $64.55. Coke also announced an increase in its dividend.

The technology sector showed strength, with Nvidia Corp (NVDA.O) up 9.8 percent to $25.68 a day after posting a bullish revenue forecast on accelerating sales of its processors.

An index of semiconductors' shares .SOX gained 1.4 percent and is now up 21.3 percent since early December, around the time when the most recent leg of the run-up started.

The S&P energy sector .GSPE gained 0.8 percent. U.S. crude futures jumped 1.7 percent as unrest in the Middle East kept focus on supply, boosting shares of energy companies.

Futures had dipped early in the session after data showed both a rise in consumer prices and new claims for unemployment benefits, but the dip didn't last long after the open.

"People have been focusing on the positives like the outlook for corporations and a good earnings season," said Brian Lazorishak, a money manager at Chase Investment Counsel in Charlottesville, Virginia.

Stocks continued to ignore Iran's intention to send two navy vessels through the Suez Canal to the Mediterranean in a move Israel has called a "provocation".

"Geopolitical issues have been pushed aside, maybe prematurely," Lazorishak said.

The S&P 500 has doubled its value in less than two years, the quickest 100 percent gain since the Great Depression. However, volume has been light in the most recent leg of the rally, with just 6.7 billion shares changing hands Thursday on the New York Stock Exchange, NYSE Amex and Nasdaq combined -- the second-lowest so far in 2011.

The Dow Jones industrial average .DJI gained 29.97 points, or 0.24 percent, to 12,318.14. The Standard & Poor's 500 Index .SPX rose 4.11 points, or 0.31 percent, to 1,340.43. The Nasdaq Composite Index .IXIC added 6.02 points, or 0.21 percent, to 2,831.58.

Advancing stocks outnumbered declining ones on the NYSE by a ratio of about 5 to 3, while on the Nasdaq, about three stocks rose for every two that fell.

The S&P 500 faces little technical resistance before the 1,361 area that marks the 76.4 percent retracement of its slide from the 2007 highs to the low hit on March 6, 2009.

A Fibonacci projection of the latest leg of the rally also draws a target near 1,361, suggesting the S&P could face strong resistance at that level.

Dr Pepper Snapple Group Inc (DPS.N) posted quarterly profit that beat estimates and gave an upbeat forecast and its shares jumped 5.7 percent to $36.20.

Its competitor Coca Cola Co (KO.N) was the top gainer in the Dow industrials, up 1.8 percent to $64.55. Coke also announced an increase in its dividend.

The chiefs of major agencies that are writing hundreds of rules mandated by Dodd-Frank told the panel at a hearing that they need more money to carry out the law, which was approved following the 2007-2009 financial crisis.

Regulators also gave some glimpses into their thinking on implementation of Dodd-Frank rules involving debit card fees and subjecting large financial firms to stricter oversight, as well as on dealing with the mortgage servicing scandal.

For investors and Wall Street, the Senate hearing represented another act in a long-running drama that analysts expect will lead to few, if any, changes in the Dodd-Frank reforms due to political gridlock ahead of the 2012 elections.

"Republicans will argue in favor of extending implementation of (Dodd-Frank) ... but these are timing issues and won't affect the substance of the rules," said Brian Gardner, analyst at investment firm of Keefe Bruyette & Woods.

From derivatives oversight to bank capitalization, the financial regulation issues being debated on Capitol Hill will also feature in a Paris meeting on Friday and Saturday of Group of 20 finance ministers and central bank chiefs.

With international coordination of post-crisis reforms still a serious challenge facing U.S. and EU policy-makers, Senator Richard Shelby urged a Dodd-Frank slow-down.

"Regulators must not compound the mistakes of Dodd-Frank by promulgating uninformed rules," said Shelby, the committee's top Republican member, at the hearing.

Republicans and the financial industry could win delays in implementation, said Joseph Engelhard, analyst at advisory firm Capital Alpha Partners. "More time will be needed," he said.

Democratic Senator Tim Johnson, replacing Christopher Dodd, presided over his first hearing as committee chairman.

Johnson pledged to defend "the letter and spirit" of the sprawling Dodd-Frank statute, though he cautioned that its global impact must be handled "with great care to avoid unintended consequences that could impair economic growth."

HEAVY LOAD FOR REGULATORS

Dodd-Frank was written and passed by congressional Democrats and signed into law by President Barack Obama over the fierce opposition of Republicans and Wall Street.

With 2012 elections looming and campaign donations from the financial industry rolling in, Republicans are pressing to trim back Dodd-Frank at the funding and administrative levels, with legislative changes seen as unlikely to gain much traction.

House Republicans -- pursuing dual goals of combating the federal deficit and undermining reforms that they continue to oppose -- want to restrain financial regulators' budgets.

The chiefs of major agencies that are writing hundreds of rules mandated by Dodd-Frank told the panel at a hearing that they need more money to carry out the law, which was approved following the 2007-2009 financial crisis.

Regulators also gave some glimpses into their thinking on implementation of Dodd-Frank rules involving debit card fees and subjecting large financial firms to stricter oversight, as well as on dealing with the mortgage servicing scandal.

For investors and Wall Street, the Senate hearing represented another act in a long-running drama that analysts expect will lead to few, if any, changes in the Dodd-Frank reforms due to political gridlock ahead of the 2012 elections.

"Republicans will argue in favor of extending implementation of (Dodd-Frank) ... but these are timing issues and won't affect the substance of the rules," said Brian Gardner, analyst at investment firm of Keefe Bruyette & Woods.

From derivatives oversight to bank capitalization, the financial regulation issues being debated on Capitol Hill will also feature in a Paris meeting on Friday and Saturday of Group of 20 finance ministers and central bank chiefs.

With international coordination of post-crisis reforms still a serious challenge facing U.S. and EU policy-makers, Senator Richard Shelby urged a Dodd-Frank slow-down.

"Regulators must not compound the mistakes of Dodd-Frank by promulgating uninformed rules," said Shelby, the committee's top Republican member, at the hearing.

Republicans and the financial industry could win delays in implementation, said Joseph Engelhard, analyst at advisory firm Capital Alpha Partners. "More time will be needed," he said.

Democratic Senator Tim Johnson, replacing Christopher Dodd, presided over his first hearing as committee chairman.

Johnson pledged to defend "the letter and spirit" of the sprawling Dodd-Frank statute, though he cautioned that its global impact must be handled "with great care to avoid unintended consequences that could impair economic growth."

HEAVY LOAD FOR REGULATORS

Dodd-Frank was written and passed by congressional Democrats and signed into law by President Barack Obama over the fierce opposition of Republicans and Wall Street.

With 2012 elections looming and campaign donations from the financial industry rolling in, Republicans are pressing to trim back Dodd-Frank at the funding and administrative levels, with legislative changes seen as unlikely to gain much traction.

House Republicans -- pursuing dual goals of combating the federal deficit and undermining reforms that they continue to oppose -- want to restrain financial regulators' budgets.

The technology sector showed strength, with Nvidia Corp (NVDA.O) up 9.4 percent to $25.58 a day after a bullish revenue forecast.

The S&P 500 hit a 32-month high a day after doubling its value in less than two years, the steepest 100 percent gain since the Great Depression.

U.S. crude futures jumped as civilian unrest in some oil-producing regions kept focus on supply, boosting shares of energy companies. The S&P energy sector .GSPE gained 0.9 percent.

Stocks continued to overlook Iran's intentions to send two navy vessels through the Suez Canal in a move that Israel has called a "provocation" and that is putting Egypt's new military rulers in an unwelcome diplomatic spotlight.

"Geopolitical issues have been pushed aside, maybe prematurely," said Brian Lazorishak, a money manager at Chase Investment Counsel in Charlottesville, Virginia.

"People have been focusing on the positives like the outlook for corporations and a good earnings season," he said.

Lazorishak added that the uptick in stocks was related more to a lack of sellers than to enthusiastic buying. Dwindling volume could be a reflection of that.

Average daily volume on the New York Stock Exchange, NYSE Amex and Nasdaq has been 7.5 billion shares in February, sharply below the 8.5 billion shares traded daily on average over the same month last year.

The Dow Jones industrial average .DJI added 29.14 points, or 0.24 percent, at 12,317.31. The Standard & Poor's 500 Index .SPX gained 3.67 points, or 0.27 percent, at 1,339.99. The Nasdaq Composite Index .IXIC rose 5.52 points, or 0.20 percent, at 2,831.08.

Dr Pepper Snapple Group Inc (DPS.N) posted quarterly profit that beat estimates and gave an upbeat forecast and its shares jumped 5.6 percent to $36.18.

Its competitor Coca Cola Co (KO.N) was the top gainer in the Dow industrials, up 1.7 percent to $64.48. Coke also announced an increase in its dividend.

Data storage equipment maker NetApp Inc (NTAP.O) forecast weaker-than-expected profit, blaming a components shortage. Its shares fell 7.3 percent to $54.29.

Data showed U.S. core consumer prices rose at the quickest pace in 15 months in January but economists said the turnaround in prices was unlikely to derail the Federal Reserve's plan to continue pumping money into the economy.

That excess liquidity has been one of the main drivers of the stocks rally in the past months.

A separate report showed factory activity in the U.S. Mid-Atlantic region rose in February to its highest since January 2004, with an employment subindex reaching its highest point since April 1973.

(Editing by James Dalgleish)