* Cyprus to spin off Greek units of its battered banks
* ECB to cut off bank funds if no bailout deal by Monday
* Indexes up: Dow 0.6 pct, S&P 0.6 pct, Nasdaq 0.5 pct
By Angela Moon
NEW YORK, March 22 U.S. stocks rose on Friday,
rebounding from their biggest decline in nearly a month, as a
banking deal between Greece and Cyprus eased some concerns about
the island nation as it tries to avoid a financial meltdown.
Cyprus agreed with Greece on a takeover of the Greek units
of Cypriot banks, which ended uncertainty over the fate of those
But Russia rebuffed Cypriot entreaties for aid, leaving the
island's leaders scrambling to strike a bailout deal with the
European Union by next week or face the collapse of its
financial system and an exit from the euro that could roil the
"While the market may be vulnerable because it's up so much,
the U.S. economy is in a better shape and better position to
withstand the whole euro zone and Cyprus situation," said Randy
Frederick, managing director of active trading and derivatives
at Charles Schwab.
The Dow Jones industrial average was up 76.82 points,
or 0.53 percent, at 14,498.31. The Standard & Poor's 500 Index
was up 8.81 points, or 0.57 percent, at 1,554.61. The
Nasdaq Composite Index was up 14.50 points, or 0.45
percent, at 3,237.09.
On Thursday, the S&P 500 fell 0.8 percent while the Dow
ended down 0.6 percent, as Oracle's revenue fell far
short of expectations and worries intensified about the effect
of Cyprus' troubles on the euro zone.
On Friday, retail stocks were the top gainers.
Tiffany & Co reported a slightly higher profit for
the quarter that included the holiday season and said net
worldwide sales would rise 6 percent to 8 percent this fiscal
year, with growth in all regions. The stock was
up 2 percent at $69.29.
Nike Inc shares jumped 11 percent to $59.50 as
several brokerages upgraded the stock after the company's
quarterly profit beat Wall Street expectations.
Blackstone Group LP and General Electric Co's
lending arm have discussed jointly pursuing Dell Inc's
financial-services business, the Wall Street Journal reported,
citing people familiar with the matter.
Blackstone shares were down 0.3 percent at $19.84. GE shares
were little changed at $23.30 and Dell shares were also flat at
The European Union has given Cyprus until Monday to raise
5.8 billion euros to secure a 10-billion euro international
bailout. Parliament has already rejected one deal.