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Best day in a month for stocks

Tuesday, April 17, 2012 - 02:08

April 17 - Summary of business headlines: Apple jumps five percent; Goldman beats forecasts; Spain borrowing costs fall; Tensions mount over Argentina YPF plan; Buffett reveals he has prostate cancer. Bobbi Rebell reports.

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PLEASE NOTE : THIS EDIT CONTAINS 4:3 MATERIAL U.S. stocks had their best day in a month on Tuesday with the Dow closing back above the 13,000 mark. Apple shares snapped a five-day losing streak, jumping five percent higher. After the closing bell: Intel reported better-than-expected results and issued an upbeat sales outlook. It also said the first Intel chip based smartphones will come out this quarter. Yahoo, which is going through a massive internal overhaul, also beat forecasts. And IBM benefited from strong demand for software services - resulting in better-than-expected earnings as well. Earlier in the day Goldman Sachs, Coca Cola, and Johnson and Johnson also posted results that beat Wall Street estimates. Of the S&P companies that have reported earnings so far, about three quarters have surpassed forecasts. But Max Wolff, Senior Research Analyst, at Greencrest Capital has some concerns: SOUNDBITE: MAX WOLFF, SENIOR RESEARCH ANALYST, GREENCREST CAPTIAL (ENGLISH) SAYING: "We know that large companies have done massive cost cutting, headcount reductions and just delaying maintenance and all kinds of things to push the costs down but its not clear that you can grow for that long without some real growth in the overall macro economy." Also helping to boost stocks: a decline in borrowing costs for Spain easing concerns about Europe's debt crisis after its well received debt sale. But tensions are rising over Argentina's plan to seize YPF, the South American nation's biggest oil company that is controlled by Spanish energy group Repsol. Spain has threatened swift economic retaliation. Repsol called the action inappropriate and says it will seek $18 billion dollars in compensation. Berkshire Hathaway CEO Warren Buffett revealed he has stage one prostate cancer. He will begin radiation treatments in July. Turning to the markets: European shares rallied with banks leading gains after that Spanish debt auction. In the U.S. - a similar picture - stocks higher across the board. Bobbi Rebell, Reuters.

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Best day in a month for stocks

Tuesday, April 17, 2012 - 02:08