Stocks Soar on Optimism
U.S. stocks rose for a fourth day in five, sending the Standard & Poor's 500-stock index to its first close above 1000 in almost a year, after the Federal Reserve reported that business is picking up for manufacturers in New York.</br></br>The report triggered buying by money managers after investors last week put more money into mutual funds than they withdrew for a 13th straight week. Investors don't want to miss out on a three- month rally in stocks that has lifted the S&P 500 by 26 percent.</br></br>The Dow Jones industrial average gained 201.84, or 2.2 percent, to 9318.96, its highest close since July 5. The Nasdaq composite index added 40.09, or 2.5 percent, to 1666.58.</br></br>The S&P 500 jumped 22.13, or 2.2 percent, to 1010.74, the first close above 1000 since June 20, 2002, and its biggest rise in 21/2 months.</br></br>A factory index compiled by the Buffalo branch of the New York Fed climbed to 26.8 in June, the highest since the measure started in July 2001. The index was 10.6 in May. Readings greater than zero indicate the majority of manufacturers reported an improvement in business.