The Herald Bulletin

Evening Update

Nation & World

March 25, 2013

US stocks rise after teetering Cyprus gets bailout

NEW YORK —

U.S. stocks rose after Cyprus secured a bailout to prevent the collapse of its banking system. The deal boosted the Standard & Poor's 500 index to within a half-point of its record high.

The S&P 500 rose 0.5 percent shortly after the market opened. It climbed in early trading to within a half-point of its all-time high, set in October 2007. The Dow Jones industrial average rose 0.3 percent, the Nasdaq composite 0.5 percent.

International lenders agreed early Monday to release 10 billion euros of emergency rescue funds for Cyprus. The European Central Bank will continue to support the nation's foundering banks. In exchange, Cyprus will shrink its banking industry, cut its budget, implement economic reforms and privatize some state assets. The measures will result in heavy losses for its banks' bondholders and people with large deposits in banking accounts.

The deal to save Cyprus' banks erased a crucial source of anxiety for investors, who have traded for more than three years under the cloud of a debt crisis in Europe. The fear is that a heavily indebted country will default on its financial obligations and be forced to exit the shared currency. That could cause the euro zone to unravel, deepening the recession there and roiling international financial markets.

Concern about Cyprus squelched a rare 10-day rally for the Dow earlier this month. Investors watched closely over the past week as the small, Mediterranean island scrambled to satisfy its lenders and prevent its banks from collapsing.

European markets added to earlier gains after Wall Street opened. The main indexes in Paris, London and Frankfurt all were up 0.7 percent. Earlier, Asian stocks closed mostly higher.

The S&P 500 rose seven points to 1,564, led by Apollo Group Inc. and Dollar General. Computer maker Dell Inc. also boosted the index as a bidding war broke out among investors who want to take the company private.

The Dow rose 41 points to 14,552. The Nasdaq added 15 points to 3,260.

As the final week of trading this quarter kicks off, the indexes are holding onto gains built during the long rally earlier this month. The Dow is up more than 11 percent, the S&P 500 nearly 10 percent.

Among the companies making big moves:

— Apollo Group soared after the for-profit education company said its quarterly net income exceeded Wall Street's expectations. The stock rose $2.11, or 12 percent, to $19.15.

— Dollar General's quarterly net income rose as the chain discounter attracted more customers and sold more goods. The discount retailer rose $1.41, or 3 percent, to $51.48.

— Dell rose 43 cents, or 3 percent, to $14.57. The company received competing bids from activist investor Carl Icahn, who offered $15 per share, and buyout firm Blackstone Group, which proposed a deal worth $14.25 per share. Founder Michael Dell had been in talks to take the company private for about $13.65 per share.

 

1
Text Only
Nation & World
  • Holder bringing personal perspective to Ferguson

     Eric Holder talks about the nation's civil rights struggles in a way no previous U.S. attorney general could — by telling his own family story.

    August 20, 2014

  • Senate control could rest with well-funded women

    Control of the Senate could lie in the fortunes of female candidates and the deep-pocketed donors, like former New York Mayor Michael Bloomberg, who are sending piles of cash their way.

    August 20, 2014

  • Iraq forces retake Mosul Dam; militants deny claim

    Boosted by two days of U.S. airstrikes, Iraqi and Kurdish forces on Monday wrested back control of the country's largest dam from Islamic militants, a military spokesman in Baghdad said as fighting was reported to be underway for the rest of the strategic complex.

    August 18, 2014

  • US stocks open higher; Family Dollar jumps

     U.S. stocks are opening higher, following gains in Europe.

    August 18, 2014

  • Federal autopsy ordered in Missouri teen's death

    Attorney General Eric Holder on Sunday ordered a federal medical examiner to perform another autopsy on a black Missouri teenager whose fatal shooting by a white police officer has spurred a week of rancorous and sometimes-violent protests in suburban St. Louis.

    August 17, 2014

  • news_missingamish.jpg Official: Amish girls sexually abused in abduction

    Two young Amish sisters were sexually abused after their abduction from a roadside farm stand in northern New York, a prosecutor said Saturday.

    August 17, 2014 1 Photo

  • Ukraine [Duplicate] Ukraine says troops entered rebel-held city

    Ukraine's government said Sunday that separatists shot down a Ukrainian fighter plane after army troops entered deep inside a rebel-controlled city in the east in what could prove a breakthrough development in the four-month long conflict.

    August 17, 2014 1 Photo

  • news_ferguson.jpg Governor declares emergency, sets Ferguson curfew

    Missouri Gov. Jay Nixon declared a state of emergency and imposed a curfew Saturday in a St. Louis suburb where police and protesters have clashed in the week since a black teenager was shot to death by a white police officer.

    August 17, 2014 1 Photo

  • news_rickperry.jpg Perry is latest 2016 GOP hopeful facing legal trouble

    As they form exploratory committees and begin hiring staff in key presidential battleground states, three potential Republican White House candidates also face the distraction of legal troubles back at home. The latest is Texas Gov. Rick Perry, who following his indictment on two felony charges, is staring at the most serious accusations of wrongdoing by a prominent Republican governor openly considering a run for president.

    August 17, 2014 1 Photo

  • Missing Amish Girls_Mile.jpg Sheriff: Pair may have plotted to kidnap more kids

    A couple accused of kidnapping two young Amish sisters were prowling for easy targets and may have also planned to abduct other children, a sheriff said Saturday.

    August 17, 2014 1 Photo

More Resources from The Herald Bulletin
AP Video
Obama: World Is Appalled by Murder of Journalist Israel, Militants Trade Fire After Talks Fail Pres. George W. Bush Takes Ice Bucket Challenge Pierce Brosnan's Call to Join the Expendables Changes Coming to No-Fly List Raw: IDF Footage Said to Show Airstrikes Police: Ferguson More Peaceful Raw: Aftermath of Airstrike in Gaza Raw: Thousands March on Pakistani Parliament Raw: World's Oldest Man Lives in Japan Fire Crews Tame Yosemite Fire Raw: Police Weapon Drawn Near Protesters, Media Raw: Explosions in Gaza As Airstrikes Resume Charter Schools Alter Post-Katrina Landscape Texas Gov. Perry: Indictment 'a Political Act' US Officials: Video Shows American's Beheading Video Shows Ferguson Cop Months Before Shooting Water Bottles Recalled for Safety Researcher Testing On-Field Concussion Scanners
Parade
Magazine

Click HERE to read all your Parade favorites including Hollywood Wire, Celebrity interviews and photo galleries, Food recipes and cooking tips, Games and lots more.
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide
Helium debate
Helium