Thanks to a boost from shares in both Apple and Microsoft, U.S. stocks rose in the first session of the week. Bobbi Rebell reports.
Tech and telecom stocks helped Wall Street bounce back Monday from two days of drubbing. But a fourth straight day of losses for oil stocks capped the gains. Wells Fargo Funds Management's John Manley says the Monday rally is sustainable: SOUNDBITE: JOHN MANLEY, CHIEF EQUITY STRATEGIST, WELLS FARGO FUNDS MANAGEMENT (ENGLISH) SAYING: "We still have ammunition. We still don't have excessive valuations. The Fed may be raising rates very slightly, but they're not tightening." Microsoft and Apple helped pull up the S&P 500. Barron's said growth of the software giant's cloud business could drive its shares up thirty percent in the next 18 months. Apple settled its dispute over mobile patents with Ericsson, sending both shares higher. More pep in Pep Boys shares. Activist investor Carl Icahn upped his bid for the auto parts retailer. The company said his offer trumps Bridgestone's latest bid. Setback for Staples. U.S. regulators rejected the office supply retailer's offer to divest commercial contracts to get approval for its purchase of rival Office Depot. In Europe, the dollar's drop against the euro and an indecisive result in Spain's elections sent stocks south.