Business

U.S. stocks rebound as energy rally overshadows Swiss fallout

NEW YORK -- U.S. stocks climbed, rebounding from a five-day decline in the Standard & Poor's 500 Index, as gains in energy shares and a jump in consumer confidence overshadowed fallout from the Swiss currency shock.

The S&P 500 rose 1.3 percent to 2,019.38 at 4 p.m. in New York, climbing above its average price for the past 100 days. The benchmark index pared its loss for the week to 1.2 percent. The Dow Jones Industrial Average added 190.80 points, or 1.1 percent, to 17,511.51. The Russell 2000 Index of smaller companies gained 1.9 percent. Trading in S&P 500 companies was 24 percent above the 30-day average for this time of the day. U.S. markets will be closed Monday for Martin Luther King Day.

The S&P 500 slid 3.4 percent from Jan. 8 to Jan. 15, posting its second slide of five straight days after going through all of 2014 without a losing streak of more than three days. The gauge is 3.4 percent below a Dec. 29 record.

Data Friday showed consumer confidence jumped in January to the highest level in 11 years as steady job gains and plunging gas prices brightened the outlook for U.S. households.

Another report showed the cost of living declined by the most in six years amid the plunge in energy costs, increasing speculation the Federal Reserve will remain patient in its plans to raise interest rates. The biggest drop in clothing costs since 1998 combined with falling air fares and cheaper new and used cars signal the deceleration in inflation is spreading beyond energy as Japan and Europe are in or near a recession and some emerging markets cool.

  Comments