| Stocks Surge On Commodity Gains, Healthy Data and Stocks Hover Near Best Levels; Some Leaders Reverse |
| News - Financial News |
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The Nasdaq swept ahead 2.2%, the S&P 500 climbed 2.1% and the Dow Jones industrial average opened with a 2% gain. Volume was more than double Friday's soft pre-holiday trade.Manufacturing activity expanded more than expected in December, lifting the Institute for Supply Management's index to 53.9 vs. a 52.7 reading in November. Analysts had expected an expansion to 53.4. It was the index's second straight gain after slips in August and October.Construction spending jumped 1.2% in November, well above the 0.5% gain expected by analysts, after a downwardly revised 0.2% decline for November. Spending saw modest gains in October and September, after surging 2.2% in August.Financials led as 29 of the 30 Dow components advanced. Bank of America (BAC) climbed more than 5% and JPMorgan (JPM) posted a 5% gain.Commodities-based issues also muscled ahead as oil rose 4% and gold added 2%. Rio Tinto (RIO) jumped 6%, and Caterpillar (CAT) took a 5% gain. [Read the full article] The Nasdaq was up 1.9% after being up as much as 2.3%. The S&P 500 also added 1.9%, while the Dow Jones industrial average tacked on 1.8%. Volume was up on both major exchanges.Blue chips were mostly up as all but three stocks in the Dow Jones industrial average rose. The blue chips from lowly rated industry groups, such as mining-related groups and financials, did best.On the IBD 50, a proxy for leading stocks, leaders led losers by a roughly 3-to-2 ratio. However, the day's losers were the issues moving in fast trade.TransDigm (TDG) dropped 2% in twice its usual volume after rising as much as 3% in the early going. The aerospace components stock is struggling to stay above its 50-day moving average. The company was highlighted in the Dec. 27 edition of IBD's Inside the IBD 50 section.Questcor Pharmaceuticals (QCOR) sank 4% in almost double volume. The stock cut under its 50-day line.Verisk Analytics (VRSK) made a new 52-week high and then reversed lower. [Read the full article] Want To Hear IBD's Analysis Of Today's Market And Emerging Stocks?Click here to watch the Market Wrap video!The Nasdaq advanced 1.7%, while the S&P 500 and the Dow Jones industrial average each tacked on 1.5%.Volume soared 81% on the Nasdaq and 93% on the NYSE, according to early data. Remember, though, that these gains compare with Friday's sleepy end-of-year session.Resource-related stocks grabbed the day's top wins, even though most hail from poorly ranked groups. Higher commodity prices likely drove those gains, as oil jumped more than $4 per barrel, while gold rose almost $40.The day's biggest gain came from the market's bottom-ranked group, solar stocks. The much-beleaguered group has held the No. 197 slot for months.Also rising Tuesday were steel producers, ore miners, gold and silver miners, coal miners, and metal product distributors. Then you'll find a spate of improving oil and gas groups: drillers, Canadian producers, U.S. [Read the full article] 
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