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
TheStreet Open House

Dow Rises Triple-Digits; S&P 500, Nasdaq Notch 1%-Plus Gains

NEW YORK ( TheStreet) -- The major U.S. equity averages soared Tuesday, buoyed by a batch of strong big-cap earnings reports and data showing a rebound in industrial production last month.

Among the companies delivering better than expected results were Dow components Coca-Cola (KO) and Johnson & Johnson (JNJ), along with Wall Street heavyweight Goldman Sachs (GS).

The Dow Jones Industrial Average finished up more than 127 points, or 0.95%, at 13,552. After losing 2%-plus last week, the blue-chip index now has put together a three-day winning streak, reclaiming nearly all of that ground in the process.

Breadth was overwhelmingly positive within the Dow with winners ahead of losers, 23 to 6 with General Electric (GE) closing flat. The biggest percentage gainers were American Express (AXP), Boeing (BA), Caterpillar (CAT), Intel (INTC) and United Technologies (UTX).

Blue-chip losers included Coca Cola (KO), UnitedHealth (UNH), Verizon (VZ), and Wal-Mart Stores (WMT).

UnitedHealth, which recently took the place of Kraft Foods in the Dow, reported quarterly earnings of $1.50 a share on revenue of $27.3 billion. The health care company's earnings beat analysts' expectations of $1.31 a share.

Coca-Cola reported third-quarter net income rose 4% to $2.31 billion, or 50 cents a share. Revenue was $12.34 billion vs. $12.25 a year earlier.

"We're continuing to watch the earnings reports come out; we know that the global economy has slowed over the course of the third quarter, and investors are trying to determine how much negative impact we had on corporate earnings," said Alan Gayle, senior investment strategist at RidgeWorth Investments.

After the bell, both Intel and IBM (IBM) reported their quarterly results. Intel shares were sliding after the company gave an uninspiring outlook for the fourth quarter, while IBM's stock was weighed down a revenue miss.

The S&P 500 advanced nearly 15 points, or 1.03%, to close at 1455, while the Nasdaq surged close to 37 points, or 1.21%, to settle at 3101.

The strongest sectors in the broad market, which was entirely in the green, were basic materials, energy and technology. Apple (AAPL) shares gained 2.4% on heavy volume as news the company has sent out invitations for a media event on Oct. 23 has spurred speculation of an imminent launch for the iPad Mini.

Winners were ahead of losers by a nearly 3-to-1 ratio on the New York Stock Exchange and 2-to-1 on the Nasdaq. Volume totaled 3.55 billion on the Big Board and 1.74 billion on the Nasdaq.

The U.S. economic data was generally good on Tuesday. Industrial production rose 0.4% in September, a tad higher than the consensus view for a 0.3% increase and a strong rebound from a decline 1.3% in August.

1 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 16,987.51 -61.49 -0.36%
S&P 500 1,985.54 -11.91 -0.60%
NASDAQ 4,567.5980 -24.2080 -0.53%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

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