U.S. stocks jump on strong economic news | Irish Sun

U.S. stocks jump on strong economic news

Irish Sun (IANS) Tuesday 1st May, 2012

• Factory orders rise to best level in 10 months

• Construction spending up slightly in March

• China manufacturing on expansion trail

U.S. stocks jumped Tuesday, with the blue-chip Dow Jones index rallying to a fresh four-year high, as market sentiment was boosted by upbeat manufacturing data.

According to the Institute for Supply Management, its factory index climbed to 54.8 last month, the highest in 10 months, from 53.4 in March, while investors were expecting a drop to 53.

In a separate report, the Commerce Department said construction spending went up slightly in March, following two months of declines.

Earlier, data from China showed the country's manufacturing sector was expanding for the fifth straight month. Chinese official PMI for April came in at 53.3, below the market consensus of 53.6 but still up from 53.1 in March and also the highest in about a year.

At the close of trading Tuesday, the Dow Jones industrial average rose 65.69 points or 0.50% to 13,279.32.

The Standard Poor's 500 was up 7.91 points or 0.57% at 1,405.82.

The Nasdaq Composite Index added 4.08 points or 0.13% to 3,050.44.

The U.S. dollar was stronger across the board although gains against the euro were minor as it bounced back from recent pressure over the Spain debt devaluation.

On forex markets, around the New York close Tuesday the euro was changing hands at 1.

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