US stocks jumped on Friday as surprisingly strong data on home sales and durable goods orders relieved economic worries and bolstered investor confidence.
US markets slipped yesterday as after the head of the biggest US mortgage company said the housing downturn could create a recession. Financial stocks were among those leading declines.
US stocks climbed higher on Wednesday on renewed takeover activity. Investors also bet that authorities will cut interest rates next month and continue working to bring stability back to the credit markets.
US stocks ended mostly higher on Monday after yields on short-term Treasury bills came off their session lows, suggesting investors were dipping into riskier assets.
US stocks surged on Friday ending a turbulent week on a high after the Federal Reserve cut the discount rate it charges banks in an emergency move to stabilize credit markets and keep the economy on track. Financial shares and energy stocks lead the rise.
The Dow Jones Industrials closed down for a sixth day on Thursday. There's still plenty of fear that credit markets could break down and hurt the economy and earnings, but a remarkable late-day surge almost brought the Dow back into the black.
It was another terrible day for investors on Wall Street with US stocks falling sharply, wiping out the year's gains for the benchmark S&P500 on renewed credit market worries brought on by Countrywide Financial.
