US stocks rise as Hollande sees Greek deal near
Wall Street stocks rose Wednesday following comments from French President Francois Hollande that a deal to prevent a Greek debt default was imminent.
About 45 minutes into trade, the Dow Jones Industrial Average was at 18,139.06, up 127.12 points (0.71 percent).
The broad-based S&P 500 gained 8.97 (0.43 percent) to 2,118.57, while the tech-rich Nasdaq Composite Index rose jumped 29.05 (0.57 percent) to 5,105.57.
Stocks opened flat, but jumped after Hollandes statement that, «we are days, even hours away from a possible resolution.”
Uncertainty about Greeces ability to reach a new deal with official creditors to avoid a default has hung over equities this week. But Hollandes comments came around the same time as German finance minister Wolfgang Schaeuble said he was skeptical a deal was close.
US businesses added 201,000 jobs in May after an average 170,000 in each of the previous two months, according to payroll firm ADP.
Commerce Department data showed the trade deficit fell to $40.9 billion in April from the huge $50.6 billion in March as the distortions from the West Coast port slowdown began to ebb.
Among the strong gainers in the Nasdaq, Facebook rose 2.3 percent, GoPro advanced 2.8 percent and Apple tacked on 0.7 percent.
Online coupon company Groupon fell 2.0 percent after announcing that chief financial officer Jason Child will leave the company at the end of July. Groupon also said it approved $200 million in additional share repurchases, adding to the $300 million previously announced.
Frontier Communications rose 3.4 percent following an upgrade from DA Davidson.
Bond prices fell. The yield on the 10-year US Treasury rose to 2.33 percent from 2.26 percent Tuesday, while the 30-year advanced to 3.08 percent from 3.02 percent. Bond prices and yields move inversely. [AFP]
