Pickup in home building sends stock market higher
NEW YORK (AP) — Stocks are sharply higher in early trading, a day after the market’s worst drop this year, as the government reported a surge in home construction last month.
Coca-Cola jumped 4 percent after reporting strong earnings. Home builder stocks rose following the construction report.
The Dow Jones industrial average leapt 98 points to 14,696 in early trading Tuesday, a gain of 0.7 percent. It lost 265 points Monday as commodities prices plunged.
The Standard & Poor’s 500 was up 12 points, or 0.8 percent, to 1,564.
In a reversal from the day before, investors were moving money into risky assets. Utility stocks were the only industry group to fall in the S&P.
The Nasdaq composite rose 25 points to 3,242, a gain of 0.8 percent.