Yahoo Finance US stocks follow European markets higher
Wall Street stocks jumped early Tuesday, joining a rally in Europe as bourses in Frankfurt, Paris and London rose by one percent or more.
The strong performances in Europe followed better-than-expected German growth figures but a disappointing reading on German investor confidence due to worries about a possible exit of Britain from the European Union.
Analysts said the uncertainty about Britain will likely keep the European Central Bank on an accommodative course.
About 35 minutes into trade, the Dow Jones Industrial Average was at 17,677.83, up 1.1 percent.
The broad-based S&P 500 rose 1.0 percent to 2,068.29, while the tech-rich Nasdaq Composite Index climbed 1.2 percent to 4,822.01.
US banks were a standout sector, with JPMorgan Chase rising 1.7 percent, Bank of America 1.4 percent and Goldman Sachs 1.6 percent.
Electronics retailer Best Buy dropped 6.1 percent as it projected lower international revenues and per-share earnings in the second-quarter compared with the year-ago period. Analysts said the forecast was weaker than expected.
Toll Brothers, a homebuilder specializing in luxury properties, jumped 6.4 percent after reporting second-quarter net income rose 31.2 percent to $89.1 million.
Microblogging company Twitter fell 3.8 percent following a downgrade from MoffettNathanson, which titled its report "Hope is Not a Strategy."
