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 Under $10 with 50-100% upside potential - 14 days FREE!

Dow Surges Nearly 3% in Relief Rally

In U.S. economic news, a decrease in new home sales for the third month in a row disappointed economists. New-home sales fell by 0.7% in June compared to a forecasted 0.6% decline. The housing industry is expected to remain a drag on the economy.

Global manufacturing data helped to lift oil prices. The October crude oil contract gained $1.02 to settle at $85.44 a barrel. Gold was declining after hitting a record high of $1,917.60 an ounce as the equities rally gained momentum. The December delivery contract lost $30 to $1,858 an ounce.

Deven Sharma, president of McGraw-Hill (MHP) subsidiary Standard & Poor's, will leave the company and be replaced by Douglas Peterson. Peterson, who will join the company Sept. 12, is currently chief operating officer of Citibank N.A., the chief banking unit of Citigroup (C).

Sharma's resignation follows the rating agency's much-criticized decision to downgrade the U.S. credit rating to AA+ from AAA. McGraw-Hill's stock moved up 4.5% to 38.69.

Delta (DAL) plans to order 100 Boeing (BA) 737 single-aisle jets in a deal valued at more than $8 billion, according to a Wall Street Journal report. Boeing's stock gained 4% to $60.77.

H.J. Heinz (HNZ) reported better-than-expected first-quarter adjusted earnings on growth across emerging markets. The company expects second-quarter earnings to meet or come in slightly above its year-ago profit, but lowered its fiscal 2012 adjusted earnings guidance. The stock lost 1.2% to $51.44.

Shares of UBS (UBS) climbed 5.2% to $13.88 following news that the Swiss bank plans to cut 3,500 jobs in an effort to eliminate expenses of 2 billion Swiss francs ($2.54 billion) a year by the end of 2013.

The benchmark 10-year Treasury was down 2/32, lifting the yield to 2.118%. The dollar weakened against a basket of currencies, with the dollar index down by 0.4%.

-- Written by Chao Deng in New York.

2 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,943.81 +28.74 0.17%
S&P 500 1,967.57 +2.89 0.15%
NASDAQ 4,415.49 +19.2860 0.44%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs