US Stocks Surge Most Since July 2009

U.S. stocks posted the biggest weekly rally in two years, with the Dow Jones Industrial Average rising 648 points, after Greece took action to avoid a default, Nike Inc. (NKE) ’s earnings topped analyst estimates and U.S. manufacturing growth rebounded.

Caterpillar Inc. (CAT) , United Technologies Corp. (UTX) and 3M Co. (MMM) jumped at least 6.3 percent, pacing gains among companies most- dependent on economic growth. Nike, the world’s largest sporting-goods company, climbed 13 percent. Visa Inc. (V) surged 20 percent, the most in the Standard & Poor’s 500 Index, as the Federal Reserve moved to set a less-severe limit on debit-card swipe fees than previously proposed.

The S&P 500 surged 5.6 percent to 1,339.67. The Dow Jones Industrial Average advanced 5.4 percent to 12,582.77 this week. Both indexes rose all five days for the biggest weekly gains since July 2009.

“It’s a week of major reversal,” said Stephen Lieber, chief investment officer of Alpine Woods Capital Investors LLC, which manages about $7 billion, in Purchase, New York . “As soon as you got the first manufacturing indexes that began to turn positive and then culminated by the Chicago manufacturing index above estimates, it shifted confidence very positively.”

The gain helped the S&P 500 erase about 75 percent of the decline suffered since reaching its high for the year on April 29. Through June 24, U.S. equities had fallen for seven of the previous eight weeks on concern the European debt crisis would spread and the U.S. economy slow. The index is up 6.5 percent for the year, data compiled by Bloomberg show.

The Chicago Board Options Exchange Volatility Index, also known as the VIX, which measures the cost of using options as insurance against declines in the S&P 500, tumbled 25 percent this week, the biggest weekly drop since March.

The advance in equities marked a partial reversal of returns that had favored companies and industries that are less sensitive to economic growth. Since the S&P 500 slipped to its low for the year on March 16, drugmakers, phone companies, utilities and household-products producers have gained the most, rising at least 9.7 percent, according to data compiled by Bloomberg.

The biggest gains in last week’s rally were among so-called cyclical stocks. Energy companies climbed 7.2 percent, computer and software makers increased 6.8 percent, a group of retailers, hoteliers and automakers added 6.6 percent and industrials rose 6.4 percent, the data show.

Top 10 Dow 30 (DJIA) Stocks with Highest Momentum: IBM, KFT, JNJ ...

This Stock Blog gives insight on daily stock market trading as well as stock trading analysis and technical analysis of the Stock Market and individual stocks making the news. We don't give Stock Picks ( I guess the stocks that I buy are stock picks ) but we do give stock alerts on the best stocks to watch and the hottest stocks to trade daily. http://stockmarkettowatch.blogspot.com - Stock trading blog before hours from now. In the United States and small included in the category best stock market of companies based on the average rating by analysts on Wall Street. These shares are classified as at least five analysts. Are set for each analyst estimate of between 1 to 5, with 1 being the highest rating (strong buy) and 5 being the lowest rank (Strong Sell). Then are averaged to represent the overall assessment of

International Business Machines Corp. (NYSE:IBM) has the 1st highest price momentum in this segment of the market. It is trading at 99.9% of 52-week high. Its price change was 5.8% for the last 4 weeks. Kraft Foods Inc. (NYSE:KFT) has the 2nd highest price momentum in this segment of the market. It is trading at 99.9% of 52-week high. Its price change was 4.0% for the last 4 weeks. Johnson & Johnson (NYSE:JNJ) has the 3rd highest price momentum in this segment of the market. It is trading at 99.9% of 52-week high. Its price change was 1.8% for the last 4 weeks. McDonald's Corporation (NYSE:MCD) has the 4th highest price momentum in this segment of the market. It is trading at 99.8% of 52-week high. Its price change was 6.3% for the last 4 weeks. American Express Company (NYSE:AXP) has the 5th highest price momentum in this segment of the market. It is trading at 99.7% of 52-week high. Its price change was 6.2% for the last 4 weeks.

United Technologies Corporation (NYSE:UTX) has the 6th highest price momentum in this segment of the market. It is trading at 99.4% of 52-week high. Its price change was 8.3% for the last 4 weeks. AT&T Inc. (NYSE:T) has the 7th highest price momentum in this segment of the market. It is trading at 99.2% of 52-week high. Its price change was 3.4% for the last 4 weeks. The Coca-Cola Company (NYSE:KO) has the 8th highest price momentum in this segment of the market. It is trading at 99.0% of 52-week high. Its price change was 3.9% for the last 4 weeks.

The Neatest Little Guide to Stock Market Investing

The 100 Best Stocks You Can Buy 2008

New York Magazine

Dividend Stocks for Dummies

Winning with the Dow's Losers, Beat the Market with Underdog Stocks