US stocks rebound on earnings’ reports

New York, Oct 21 (DPA) Wall Street was buoyed Wednesday by corporate earnings’ reports from several major airlines and other companies, ending higher after the previous day’s sharp declines.

Yahoo said its income more than doubled to $396 million from $186 million in the year-ago quarter after markets closed Tuesday.

Delta Airlines, the second-largest US carrier, Wednesday reported a profit of $363 million in the third quarter, continuing the company’s turnaround after the recession badly hurt air travel.

US Airways earned $240 million – a record profit for a third quarter – compared to losses of $80 million last year. Revenues climbed 17 percent to $3.2 billion.

American Airlines had earnings of $143 million compared to losses of $359 million last year. Revenues climbed 14 percent to $5.8 billion.

‘We’ve had a variety of company earnings’ reports, which indicate that the sky is not falling,’ Lawrence Creatura, a New York-based fund manager, told Bloomberg financial news. ‘Yesterday was a dark day for the market because of macro factors. Today it will be company management teams’ turn to lead the way again.’

The blue-chip Dow Jones Industrial Average rose 129.35 points, or 1.18 percent, to 11,107.97. The broader Standard and Poor’s 500 Index gained 12.27 points, or 1.05 percent, to 1,178.17. The technology-heavy Nasdaq Composite Index climbed 20.44 points, or 0.84 percent, to 2,457.39.

The US currency fell against the euro to 71.61 euro cents from 72.77 euro cents Tuesday. It also dropped against the Japanese currency to 81.13 yen from 81.61 yen.

Leave a Reply

Your email address will not be published. Required fields are marked *