U.S. Stocks Rise After Greek Vote as Investors Weigh Earnings

U.S. stocks rose, with the Standard & Poor’s 500 Index nearing its all-time high, after Greek lawmakers passed a bailout agreement while companies including Netflix Inc. and Citigroup Inc. rallied on earnings.

Netflix jumped 17 percent after subscribers surged in the second quarter, beating projections. EBay Inc. climbed 3.6 percent after quarterly sales exceeded estimates and it agreed to sell its enterprise unit for $ 925 million. Citigroup added 3.5 percent as cost cuts helped the bank’s quarterly profit beat analysts’ estimates. Sherwin-Williams Co. dropped 7.1 percent after cutting its full-year earnings forecast.

The S&P 500 rose 0.7 percent to 2,122.16 at 12:47 p.m. in New York, coming within 0.4 percent of its record. The Dow Jones Industrial Average gained 49.60 points, or 0.3 percent, to 18,099.77. The Nasdaq Composite Index increased 1.1 percent, and Nasdaq-100 Index added 1.2 percent to a 15-year high.

Greek lawmakers passed reform measures demanded by creditors in exchange for negotiating a third bailout package. Following the vote, European Central Bank President Mario Draghi said today that the central bank raised the level of emergency aid to Greek lenders.

A U.S.-listed exchange-traded fund tracking Greek shares added 0.6 percent, while American depositary receipts of National Bank of Greece SA lost 2.7 percent.

Source : Bloomberg

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European Stocks Advance as ECB Increases Greek Bank Assistance

Stocks in Europe rose for a seventh day as the European Central Bank increased emergency liquidity assistance to Greece and President Mario Draghi said market uncertainty hasn’t derailed the economic recovery.

The Stoxx Europe 600 Index added 1.4 percent to 405.43 at the close of trading, capping its longest winning streak since January. Optimism over a resolution of the Greek crisis has helped the Stoxx 600 rebound 8.8 percent from a July 7 low, after falling almost 10 percent from an April record. Federal Reserve Chair Janet Yellen on Wednesday delivered an upbeat message on the U.S. economy and repeated that the Fed is likely to raise rates this year.

Equity gauges in Italy, Spain and Germany were among the biggest gainers, rising at least 1.5 percent. A measure of automakers posted the largest advance of the 19 industry groups on the Stoxx 600 after data showed European car sales last month rose at the fastest pace since 2009. Daimler AG and BMW AG climbed at least 2.2 percent.

Speaking in Frankfurt after the ECB held interest rates unchanged today, Draghi sought to draw a line under the Greek crisis, confirming the nation’s place in the euro, as the central bank decided to raise funding to its lenders by 900 million euros ($ 980 million). He also said that Europe’s economic pickup is proceeding and increased uncertainty in financial markets isn’t hindering a broadening of that recovery.

Source : Bloomberg

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