Stocks Rally amid Earnings

U.S. stocks rose more than 1 percent on Tuesday, as strong earnings eased concerns about the outlook for corporate America. At close, the Dow Jones Industrial Average jumped 187.81 points, or 1.12%, to 17,005.75. The S&P 500 rose 23.42 points, or 1.19%, to 1,985.05. The Nasdaq Composite gained 78.36 points, or 1.75%, to 4,564.29.

Facebook Inc. said its third-quarter earnings rose 90% as the social network continued to show more evidence of its growing strength in mobile advertising. Overall, Facebook reported a profit of $806 million, or 30 cents a share, up from $425 million, or 17 cents a share, a year earlier.
IBM Corp (IBM) said its board had approved a $5 billion share buyback in addition to the $1.4  billion remaining from its existing program. IBM spent $13.5 billion to repurchase stock in the first nine months of the year, more than double its net income.

Twitter announced September quarter financial results that were better than Street expectations. Twitter’s advertising revenue of $320 million grew 114% year over year and should grow about 85% year over year in the December quarter.

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