Stocks break out of five-day rut despite a steep drop in consumer confidence. After the bell, Twitter and Yelp's Q2 results top forecasts. Jeanne Yurman reports.
Stocks snapped a five-session losing streak. Corporate earnings drove a broad-based rally as China's selloff eased. Stocks were up despite consumer confidence suffering its biggest blow in four years this month on a less upbeat jobs outlook, while home prices stalled in May but remain steady. S&P Dow Jones Indices' David Blitzer: SOUNDBITE: DAVID BLITZER, INDEX COMMITTEE CHAIR, S&P DOW JONES INDICES (ENGLISH) SAYING: "Generally, home prices continue to rise. Housing prices are really leading the housing sector at this point. Other elements of home building, housing aren't quite as robust as the price trends." UPS shares surged after its quarterly profit nearly tripled. The package delivery company said it sees full-year earnings hitting the high end of its forecast. In auto news, GM is investing $5 billion to develop a new family of Chevys for emerging markets with its Chinese partner. Shares closed higher along with fellow auto maker Ford, whose rising profit beat expectations. Pfizer's new breast cancer drug, Ibrance, helped boost its bottom line. Shares rose. After the bell both Twitter and Yelp beat Street targets for the second quarter. Though consumer review site Yelp guided its sales outlook below forecasts. And in Europe, M&A deals and strong earnings propelled stocks higher.