NEW YORK, June 5, 2012 (AFP) – US stocks managed to eke out moderate gains in choppy trade Tuesday as investors weighed stronger-than-expected growth in the crucial services sector and Europe’s long-running financial crisis.
The rebound followed last week’s steep losses but appeared to lack significant follow-through momentum.
The Dow Jones Industrial Average was up 26.11 points, or 0.22 percent, to 12,127.57 in closing trade.
The S&P 500-stock index rose 7.38 (0.57 percent) to 1,285.48, while the tech-rich Nasdaq Composite gained 18.10 (0.66 percent) to 2,778.11.
Stocks got a brief shot in the arm from the Institute for Supply Management’s services index on the sector that accounts for about 70 percent of the world’s biggest economy.
The ISM index rose to 53.7 percent in May from 53.5 percent in April, indicating a slightly faster growth rate. Expectations were for a decline to 53.1 percent.
“This is a mixed report on non-manufacturing activity, but one that on balance suggests the economy continued to expand and that any slowdown in business conditions might prove to be short-lived,” said RDQ Economics analysts.
(No Ratings Yet)