Stocks Surged on Earnings

U.S. stocks surged on Tuesday, lifted into a broad rally by a round of strong earnings. The Dow Jones Industrial Average ended up 194.13 points, or 1.50%, to 13,115.54. The S&P 500 rose 21.21 points, or 1.55%, to 1,390.78. The Nasdaq Composite ended up 54.42 points, or 1.82%, to 3,042.82.

Yahoo Inc. said Tuesday afternoon that first-quarter earnings rose 28%, beating Wall Street’s expectations despite relatively flat revenue for the period. For the period ended March 31, Yahoo reported net income of $286 million, or 23 cents a share, compared with net income of $223 million or 17 cents a share for the same period the previous year. Revenue excluding traffic-acquisition costs rose by 1% to $1.08 billion.

IBM Corp. on Tuesday reported a fiscal first-quarter profit of $3.1 billion, or $2.61 a share, on revenue of $24.7 billion, compared with earnings of $2.86 billion, or $2.31 a share, on $24.6 billion in sales in the same period a year ago. Excluding one-time items, IBM would have earned $3.3 billion, or $2.78 a share.

Intel Corp. on Tuesday reported a dip in profit, but posted results that easily beat Wall Street’s expectations. Intel reported a profit of $2.74 billion, or 53 cents a share, compared with $3.16 billion or 56 cents a share in the year-earlier period. Revenue was $12.91 billion, up from $12.85 billion. Adjusted profit was 56 cents a share.

The American Petroleum Institute reported late Tuesday that crude-oil supplies rose by 3.4 million barrels for the week ended April 13. Gasoline inventories fell by 2.6 million barrels, while distillate inventories were 2.4 million barrels lower, the trade group said.

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