NEW YORK - Stock indexes gave up early losses and edged higher Wednesday after the Federal Reserve reported encouraging news on the economy. Manufacturing, consumer spending and corporate hiring increased in all 12 regions surveyed by the central bank.
Fed report helps stocks reverse early losses
April 14, 2011 at 12:36AM
Hans Olsen, chief investment officer at J.P. Morgan Private Wealth Management, said it was a good sign that the Fed's regional economic report showed that more people were quitting their jobs.
"That only happens if people are starting to feel more confident about their job prospects," Olsen said.
The Standard & Poor's 500 index rose 0.25 point, or less than 0.1 percent, to 1,314.41. The Dow Jones industrial average rose 7.41, or 0.1 percent, to 12,270.99. The Nasdaq composite gained 16.73, or 0.6 percent, to 2,761.52.
Financial stocks fell broadly after the chief executive of J.P. Morgan Chase said the bank's losses from mortgages will continue.
J.P. Morgan Chase & Co., the first big bank to release first-quarter earnings, reported net income that beat expectations. The company's investment banking and credit card businesses did well, but its mortgage business remained weak. Chief Executive Jamie Dimon said J.P. Morgan and other banks will likely pay more fees and penalties after investigations into foreclosure proceedings in all 50 states are finished.
J.P. Morgan lost 0.8 percent, Bank of America Corp. fell 1.5 percent and Wells Fargo & Co. lost 2.3 percent.
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The Minnetonka building is now empty after UnitedHealth moved employees to one of its Eden Prairie buildings.
