Dow Jones surges to largest gain this year

Traders are seen on the floor of the New York Stock Exchange. / CBS/File

(CBS/AP) NEW YORK - The Dow Jones industrial average surged 286 points, its best day this year.

The Dow jumped 2.4 percent to close Wednesday at 12,415. The gain turned the index positive for the year and erased a 275-point plunge set off by a dismal U.S. jobs report last Friday.

Hope that Europe would help ease the region's debt crisis helped launch the rally. A news report said European officials were moving quickly to find a way to rescue Spain's hobbled banks. Speculation that the Federal Reserve might launch another round of bond-buying to help stimulate the U.S. economy also appeared to boost stocks.

In other trading, the Standard & Poor's 500 index rose 30 points to 1,315. The Nasdaq composite index jumped 67 to 2,845.

Seven stocks rose for every one that fell on the New York Stock Exchange. Trading volume was slightly higher than average at 4.1 billion shares.

U.S. Treasury prices fell sharply Wednesday as investors moved money into riskier investments. The 10-year treasury rate fell 50 cents for every $100 invested, lifting its yield to 1.64 percent.

World stocks perk up ahead of ECB meeting
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Fed survey finds U.S. growth, hiring mostly steady

The euro rose against the dollar Wednesday after the European Central Bank left its benchmark lending rate unchanged.
   
Some economists expected the ECB to cut rates to help ease Europe's debt crisis, but bank President Mario Draghi said it's also up to governments to come up with a solution. In the U.S., Atlanta Fed President Dennis Lockhart said in a speech Wednesday that monetary actions need to be considered if the economy weakens further.
   
The Fed has launched two rounds of bond purchases, most recently in August 2010, to lower long-term interest rates and make stocks more attractive to investors.
   
Lower rates can weigh on a currency, however, by reducing the returns investors get from holding it. With a third round of bond-buying apparently being considered, investors sold dollars.
   
Traders will be closely watching Fed Chairman Ben Bernanke when he testifies before a congressional committee Thursday. Traders will be looking to see if he offers any hints that the Fed is considering more monetary stimulus.

[KansasCity-2012]

Institutional investors can't avoid opportunities forever. Some may not like Obama, but they need to eat, too.

Market manipulation is still a shaky event to survive.

[infantryman1968]

Dow Jones surges to largest gain this year


LOL!


Every time a National Amercian Socialist Democrat Party member is defeated the DOW surges.

The Irony.

[rpiny82]

Poor ol' infantryman1968 has taken too many incoming thru his mellon.







LOL!

[cab_351]

thats not saying much because the past few weeks were losers

[starving1968-3]

by realtimecoffee June 6, 2012 7:28 PM EDT
The market had a hell of a run from the mid 7000s in 02 to over 14000 in 07. Not even close to stagnant. Then it crashed in 07. And who was taking over Congress in 07?







What did the democrats in congress sneak past Bush's veto pen in 2007, that caused the market to crash?

And why do you ignore the fact that it was credit default swaps and derivatives sold in the early 2000's, and garbage mortgages with 5 year teaser rates blowing up 5 years after they were written?

[starving1968-3]

by bobnjersey June 6, 2012 9:21 PM EDT

but mitt's going to fix everything ... he has a plan to create jobs.







It would be nice if actually released dome details about his plan(s).

ANY DETAIL would be nice.

He must know that if he releases his plan BEFORE the election, he's doomed.

[starving1968-3]

Dow drops = it's "Obama's fault".

Dow rises = it happened in spite of "Obama's anti-business policies".

Like the president has ANYTHING to do with the Dow Jones.

SHEESH! Grow up people!!

[vissionquest]

Funny how just before the recall election in Wisconsin -the ecomomic news was terrible. This election was a recall of a tea-party union busting, in the corporations pocket politician. Now that the election is over, the future looks good and all stocks have rebound. If I was a player of the stock market, I would bet Wall St crashes the week before the presidential election --cause the republicans and corporations need bad economic news to have a chance of beating Obama

[askagain]

All we have heard for several years is bad economic news. Obama succeeded in creating trillions of dollars in debt but little else. It is time to try a new presidemt. Things can't be much worse with a new president but there is a good chance things will improve with a new president.

[RichZubaty]

This has nothing to do with the "crisis" in Europe and everything to do with the fact that traders only make money from volatile markets so they induce volatility in markets. When will people finally tire of living in a financial casino? Give me socialism or give me death.

[tibiaornottibia]

Judging from these posts, looks like quite a few people haven't figured out that they're providing the house money everybody's playing with.

[maz_beachbum]

When Bernanke testifies before Congress tomorrow, and as soon as he says there will be no QE3, the market will drop like a moon rock. The bottom will come this summer, leaving the average investor scratching their heads, wondering "just what the hell happened to my money?"

[unclebernies]

I'm removing all money from the stock market b/c it's nothing but a big scam. Always has been

[realtimecoffee]

Enjoy that 1/2 of 1% you'll get at the bank. Won't come close to keeping up with inflation. At least consider Utility Bonds.

[retmw1]

Smart move.