By Ryan Vlastelica
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Equities have risen on optimism over a possible resolution to Europe's sovereign debt crisis and a reduced likelihood of a U.S. recession after stronger-than-expected corporate results and economic data.
"When a big-name company like this reports numbers like these, that will help turn around talk about another recession," said Andrew Bodner, president of Double Diamond Investment Group in Parsippany, New Jersey.
"News like this, along with the turnaround we've seen in some economic indicators, is why the markets have moved up like they have."
The Dow Jones industrial average <.DJI> was up 78.41 points, or 0.66 percent, at 11,887.20. The Standard & Poor's 500 Index <.SPX> was up 12.13 points, or 0.98 percent, at 1,250.38. The Nasdaq Composite Index <.IXIC> was up 53.47 points, or 2.03 percent, at 2,690.93.
Equities were also boosted by proposed acquisitions. Oracle Corp
RightNow gained 19 percent to $42.85 while HealthSpring jumped 33.6 percent to $53.66.
Investors looked for progress in Europe before earnings reports were enough to push the market solidly higher. Light volume suggested they still weren't convinced as uncertainties about Europe continued.
European policymakers deferred a final decision on a strategy to end a sovereign debt crisis as they neared agreement on bank recapitalization and on how to leverage a rescue fund to try to stop bond market contagion. The leaders were due to meet again Wednesday.
(Editing by Kenneth Barry)