Major stock indexes moved higher in morning trading Friday as traders welcomed news of an interest rate cut in China and the possibility that Europe’s central bank will increase its efforts to stimulate economic growth in the region. Investors also pored over a mixed bag of corporate earnings.
KEEPING SCORE: The Standard & Poor’s 500 index gained 13 points, or 0.6 percent, to 2,065 as of 11:08 a.m. Eastern time. The Dow Jones industrial average rose 122 points, or 0.7 percent, to 17,841. The Nasdaq composite added 19 points, or 0.4 percent, to 4,721. The major indexes are on track to extend further into record levels.
SECTOR VIEW: Nine of the 10 sectors in the S&P 500 index rose, with materials stocks climbing the most. Design software company Autodesk led the gainers, adding $4.36, or 7.5 percent, to $62.81. Telecommunications stocks declined.
EARNINGS SURPRISES: Investors bid up shares in several companies that reported better-than-expected earnings. Software maker Splunk rose $3.33, or 5.3 percent, to $68.38. Sporting goods retailer Hibbett Sports gained $1.87, or 3.9 percent, to $47.68.
EARNINGS MISSES: Shares in Aruba Networks fell 10.6 percent after the wireless communications company’s outlook fell short of financial analysts’ expectations. The stock shed $2.32 to $19.48. Retailers The Gap and GameStop also reported quarterly financial results that fell short of forecasts. GameStop tumbled $5.91, or 13.5 percent, to $37.63. The Gap shed $2.17, or 5.4 percent, to $37.97.