Posted on: Thursday, February 3, 2005
Google, Boeing stoke third straight advance
By Meg Richards
Associated Press
NEW YORK — Upbeat results from Google Inc. and Boeing Co. led stocks higher for a third straight session yesterday as a widely anticipated rate hike and a little-changed policy statement from the Federal Reserve freed investors to show some enthusiasm.
Still, this was only the first time this year that stocks rose for three sessions in a row. Analysts said Wall Street's overall mood seemed to be turning more positive after the unusually poor showing for stocks in January.
"We do have an optimistic feeling coming off of earnings season. A good percentage came in above expectations, and there was some ratcheting up of growth rates from a lot of companies," said Michael Palazzi, managing director of equity trading at SG Cowen Securities. "You come off the earnings season, you place your bets, you see how things pan out, and then you say, 'OK, ... why not wait and see what the president has to say?"'
The Dow Jones industrial average closed up 44.85, or 0.43 percent, at 10,596.79.
The broader gauges also closed higher.
Light, sweet crude prices fell 43 cents to settle at $46.69 per barrel on the New York Mercantile Exchange.
Advancers outnumbered declining issues by more than 3 to 2 on the New York Stock Exchange. Volume came to 2.03 billion shares traded, compared with 2.19 billion shares on Tuesday.
Apprehension over the Fed's announcement, and the expected 0.25 percentage point rise in short-term interest rates, overshadowed strong earnings news early in the session. Some buyers were still holding back even after the decision, in anticipation of President Bush's State of the Union address.
