U.S. stock markets had their biggest gain in two months as better-than-expected results from Intel Corp. (INTC) trumped lingering concerns about the economic recovery being slow and weak.
The S&P 500 added 2.7 percent to 930.61 to what Bloomberg News called its biggest three-day advance since April. The Dow Jones industrial average gained 241.53 points, or 2.9 percent, to 8,601.02.
Gains from Intel also pushed up other large-cap tech companies including Microsoft Corp. (MSFT), Google Inc. (GOOG) and Intel's struggling rival Advanced Micro Devices Inc. (AMD) in regular trading. Exxon Mobil Corp (XOM) lead oil stocks higher after a report showed a bigger-than-expected decline in supply. Even a Consumer Price Index (CPI), which showed the biggest gain in June since last summer, did not slow the market down.
The optimism seems contagious.
"It looks like we want to trend higher in this earning season," said Peter Kenny, managing director in institutional sales at Knight Equity Markets told Bloomberg. "The fact that Intel and Goldman Sachs, two enormous players globally, have positive numbers and positive surprises does give the market some buoyancy."
Investor optimism, like fame, can be fleeting.
Stock market has its biggest gain in two months