* Twitter rallies after blockbuster results
* GDP shows more economic growth than expected in Q2
* Fed statement awaited, expected to trim monthly stimulus
* Biotechs rally on Amgen results, Regeneron trial data
* Indexes up: Dow 0.3 pct, S&P 0.4 pct, Nasdaq 0.7 pct
(Updates to market open, adds analyst comment and Amgen
By Ryan Vlastelica
NEW YORK, July 30 U.S. stocks were boosted
Wednesday by some bullish earnings and a read on second-quarter
economic growth that came in much stronger than expected,
overshadowing a weak report on the labor market.
Gross domestic product grew at a 4 percent annual rate in
the second quarter, above the 3 percent rate that had been
expected and a sharp reversal from the weather-impacted first
quarter, when the economy contracted a revised 2.1 percent.
Twitter Inc surged on heavy volume, jumping 25
percent to $48.25 in its biggest one-day advance ever after
reporting that monthly active users had risen a
better-than-expected 24 percent in the second quarter. The
social networking company also gave a revenue forecast above
"It all looks good today. Earnings have been decent and the
GDP number surprised everybody for sure. In this rate
environment, the market isn't expensive and we're still finding
good values," said Gary Bradshaw, portfolio manager at Hodges
Capital Management in Dallas.
Market participants shrugged off the ADP National Employment
Report, which showed companies hired 218,000 workers in July, a
level that was below analysts' projections and was also down
The results bolstered support for Internet and other social
media stocks, assuaging concerns the group is overpriced.
Facebook Inc, which also posted strong results this
quarter, rose 1 percent to $74.48. LinkedIn Corp rose
2.4 percent to $185.
The Dow Jones industrial average rose 51.8 points or
0.31 percent, to 16,963.91, the S&P 500 gained 8.01
points or 0.41 percent, to 1,977.96 and the Nasdaq Composite
added 32.75 points or 0.74 percent, to 4,475.45.
The Nasdaq was boosted by biotechnology stocks for a second
straight day. The Nasdaq biotech index was up 1.8 percent
after Amgen Inc posted better-than-expected earnings
and raised its outlook, sending shares up 6 percent to $130.67.
Also lifting biotechs was Regeneron Pharmaceuticals Inc
, up 9.8 percent to $334.46, after reporting positive
results from a Phase III trial.
Among other results, American Express Co late
Tuesday reported adjusted earnings in line with expectations,
while WellPoint Inc beat expectations.
Shares of AmEx, a Dow component, fell 0.3 percent to $91.41
while WellPoint fell 2.7 percent to $109.55.
While this earnings season has been positive in aggregate,
with more companies than usual beating expectations for both
earnings and revenue, there have been some high-profile
disappointments from UPS and Amazon.com Inc.
Later on Wednesday, the Federal Open Market Committee will
release a statement as it concludes its latest policy meeting.
The central bank is widely expected to trim monthly asset
purchases to $25 billion from $35 billion, which would leave it
on course to shutter the program this fall. Investors are
looking for any hint on whether officials are growing more
anxious to start to reverse their monetary accommodation.
(Editing by Bernadette Baum and Nick Zieminski)