(Updates with markets' close, fresh comments)
* U.S. 1st-quarter GDP contracts more than thought
* European stocks fall; German bond yields at 2014 low
* Dollar index eases, Treasury yields down
By Barani Krishnan
NEW YORK, June 25 U.S. stock investors ignored
weak economic data and pushed equities higher on Wednesday, as
drugmakers' shares rose and a Supreme Court ruling lifted major
broadcaster stocks, while German bond yields hit the year's low
on safe-haven bids.
The dollar and Treasuries yields also fell after data showed
the U.S. economy contracted more than thought in the first
quarter and durable goods orders unexpectedly fell in May. The
data contrasted with Tuesday's stronger-than-expected measures
of consumer confidence and new home sales.[ID:nL2N0P60H3}
The S&P 500 and Dow closed within striking range of new
"You do hear people talking about us being in some kind of a
bubble but I do not see that at all," said Bryant Evans,
investment adviser and portfolio manager at Cozad Asset
Management, in Champaign, Illinois. "The stock prices are
reflecting reasonable valuations."
Shares of Bristol-Myers Squibb Co rose 2.9 percent
to $49.73 a day after the drugmaker announced positive news
about testing of its cancer immunotherapy nivolumab.
Shares of CBS shot up 6.2 percent to $62.48 as the
U.S. Supreme Court ruled TV startup Aereo violates copyright law
by using tiny antennas to provide subscribers with broadcast
network content via the Internet.
The Dow Jones industrial average rose 49.38 points or
0.29 percent, to 16,867.51, the S&P 500 gained 9.55
points or 0.49 percent, to 1,959.53 and the Nasdaq Composite
added 29.401 points, or 0.68 percent, to 4,379.757.
The dollar slid 0.14 percent to a month low against a basket
of major currencies after the weak U.S. gross domestic
product and durable goods data signaled the likelihood of a
continued dovish stance from the Federal Reserve.
The yield on U.S. 10-year note stood at 2.561
Europe's FTSEurofirst 300 stock index hit a
one-month closing low, falling 1 percent in the biggest decline
since mid-April to 1,372.04. The MSCI world equity index
, which tracks shares in 45 countries, fell 0.05
percent, touching a one-week low at 427.19.
Yields of German government bonds, perceived as safe havens,
fell to the lowest level since May 2013. The German 10-year note
yielded 1.263 percent versus Tuesday's 1.322
In oil trading, Brent settled down 0.4 percent at
$114 a barrel, while U.S. crude advanced 0.4 percent to
$106.03. For the month, though, both crude oil grades are up
about 4 percent on fears of protracted turmoil in Iraq.
(Additional reporting by Blaise Robinson in Paris and Atul
Prakash, Marius Zaharia and Anirban Nag in London; Editing by
Leslie Adler and Dan Grebler)