Stocks closed up more than 1%, rebounding from the prior session's losses, on speculation that central bankers could make further moves to stimulate the global economy and as Wall Street tracked events in Europe. The gains were broad, with financial shares among the leaders. JPMorgan Chase, Bank of America and Citigroup were up between 2.5% and 4.5%. Meanwhile, Europe continues to be a worry, with yields on 10-year Spanish bonds hitting a euro-era high of 6.8%, indicating just how fearful investors are of the safety of Spain's sovereign debt. Italian bond yields also rose, remaining above the 6% benchmark. Adding to the pressure on Spain's banking system, Fitch Ratings downgraded 18 Spanish banks. Tech stocks closed with strong gains, boosting on a market-wide surge. Texas Instruments closed up more than 2% after the co. narrowed its guidance for the second quarter, effectively maintaining its earlier forecast. TomTom N.V. surged more than 13% after the co. announced a deal to provide mapping technology to Apple’s iPhone and iPad devices. Dell gained 3% in after-hours trading, following the co.’s announcement that its board has adopted a dividend policy under which quarterly cash dividends will start being paid in the third quarter of the current fiscal year. Implied volatility inched lower on light trading volumes.Wednesday, June 13, 2012
Rose on hopes for stimulus
Stocks closed up more than 1%, rebounding from the prior session's losses, on speculation that central bankers could make further moves to stimulate the global economy and as Wall Street tracked events in Europe. The gains were broad, with financial shares among the leaders. JPMorgan Chase, Bank of America and Citigroup were up between 2.5% and 4.5%. Meanwhile, Europe continues to be a worry, with yields on 10-year Spanish bonds hitting a euro-era high of 6.8%, indicating just how fearful investors are of the safety of Spain's sovereign debt. Italian bond yields also rose, remaining above the 6% benchmark. Adding to the pressure on Spain's banking system, Fitch Ratings downgraded 18 Spanish banks. Tech stocks closed with strong gains, boosting on a market-wide surge. Texas Instruments closed up more than 2% after the co. narrowed its guidance for the second quarter, effectively maintaining its earlier forecast. TomTom N.V. surged more than 13% after the co. announced a deal to provide mapping technology to Apple’s iPhone and iPad devices. Dell gained 3% in after-hours trading, following the co.’s announcement that its board has adopted a dividend policy under which quarterly cash dividends will start being paid in the third quarter of the current fiscal year. Implied volatility inched lower on light trading volumes.
