NEW YORK (AP) – U.S. stocks moved broadly higher on Tuesday, helped by improving economic data from Japan and Europe as well as hopes that the European Central Bank will expand its stimulus program. Banks and industrial companies led the gains, helped by prospects for higher interest rates and growth in manufacturing.
KEEPING SCORE: The Dow Jones industrial average rose 103 points, or 0.6 percent, to 17,822 as of 11:25 a.m. Eastern. The Standard & Poor’s 500 index rose 11 points, or 0.5 percent, to 2,091 and the Nasdaq composite index rose 22 points, or 0.4 percent, to 5,130.
INTEREST RATES: Banks were among the gainers in midday trading. While the ECB is looking to cut interest rates, the Federal Reserve remains on track to raise interest rates later this month. Higher interest rates are good for banks because they can charge more to loan money.
JPMorgan Chase rose 44 cents, or 0.7 percent, to $67.12. Morgan Stanley rose 71 cents, or 2 percent, to $35.01 and Goldman Sachs rose $1.46, or 0.8 percent, to $191.48.
JAPAN DATA: An index measuring factory output in Japan rose to 52.6 in November, the highest reading in 20 months and up from 52.4 in October. The index is based on a 100-point scale, with the 50-point mark separating expansion from contraction. Japanese shares jumped 1.3 percent on the news.