This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stocks Post Solid Gains on Apple, Fed

NEW YORK ( TheStreet) -- Stocks finished higher Wednesday with the Nasdaq outperforming the broad market because of a massive post-earnings rally in Apple (AAPL - Get Report).

The results of the Federal Reserve's latest policy meeting caused some fluctuation in the major U.S. equity indices but there wasn't a dramatic reaction to the news that the central bank was leaving its interest rate target intact. The Fed also tweaked the language of its policy statement and adjusted some of its economic projection.

Chairman Ben Bernanke combated that perception to some extent in his press conference though, once again leaving the door for more quantitative easing ever so slightly ajar during the question-and-answer session.

"Bernanke went out of his way at least four times to say that QE3 is still on the table, so I think we can take from all of this that QE3 is still on the table," said John Canally, strategist at LPL Financial. "And that's not by mistake, [Bernanke] is prepped ad nauseum for this thing so he didn't say that for no reason."

The Dow Jones Industrial Average advanced 89 points, or 0.7%, to close at 13,091, not far off the session's high of 13,105. The S&P 500 rose 19 points, or 1.4%, to finish at 1391.

The Nasdaq soared 68 points, or 2.3%, to settle at 3030, thanks largely to Apple's outstanding quarterly earnings report as the company sold more than 35 million iPhones, far exceeding consensus expectations.

The Fed dominated the afternoon headlines though. The central bank raised its GDP forecast for 2012 to a growth range of 2.4-to-2.9% from a prior projection of 2.2-to-2.7%. It also gave a more optimistic outlook for the jobs market, estimating the unemployment rate moving down to 7.8-8% this year from the expectation of 8-8.2% it gave in January, and boosted its inflation outlook slightly, going to an increase of 1.9-2% from a range of 1.4-1.8%.

There was a more hawkish tone to the proceedings as seven members of the Fed's rate-setting arm now expect a tightening of interest rates in 2014, up from five in January but this adjustment was offset by Bernanke's comments about providing more monetary stimulus if necessary.
1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.74 0.00%
KO $44.80 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%
TSLA $240.76 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs