U.S. Stocks Advance as Investors Weigh Data, Earnings

Bloomberg, (25/7) -- U.S. stocks rose, halting two days of losses for the Standard & Poor’s 500 Index, as investors weighed corporate earnings and economic reports for clues on when the Federal Reserve may reduce stimulus measures. Facebook (FB) Inc. rallied 30 percent after the world’s most popular social-networking service posted second-quarter revenue and profit that beat analysts’ estimates. Visa Inc. advanced 4.2 percent to a record as profit topped forecasts. Homebuilders sank 4.8 percent as a group after PulteGroup Inc. and D.R. Horton Inc. reported lower-than-expected orders. The S&P 500 rose 0.3 percent to 1,690.25 at 4 p.m. in New York, after earlier falling as much as 0.4 percent. The Dow Jones Industrial Average added 13.37 points, or 0.1 percent, to 15,555.61. The benchmark gauge rose to session highs today after a Wall Street Journal article suggested the Fed will reassure investors it won’t be quick to raise interest rates at its next policy-making meeting on July 30-31. Fed Chairman Ben S. Bernanke said last week it is “way too early to make any judgment” as to whether policy makers will start tapering purchases in September. The central bank has said economic data will determine the timing and pace of any reduction in its $85 billion in monthly bond-buying, known as quantitative easing. The Fed will start trimming purchases in September, according to a Bloomberg survey of economists. Separate reports showed today that orders for durable goods rose more than forecast in June while more Americans filed for unemployment benefits last week as annual auto-plant shutdowns continued to affect data.