U.S. stocks rose, after benchmark indexes closed at all-time highs last week, as confidence in the global economy grew amid support from central banks. The Standard & Poor's 500 Index added 0.3 percent to 2,069.84 at 9:35 a.m. in New York. "We're seeing a carryover from last week's comments made by Draghi trying to address the inflation in Europe, and the actions from the Chinese central bank to lower lending rates," Robert Pavlik, who helps oversee $4.5 billion as chief market strategist at Banyan Partners LLC in New York, said in a phone interview. "You've gotten some good economic news and earnings reports. The market has more upside potential." The S&P 500 advanced 1.2 percent last week as data signaled the U.S. economy is improving, European Central Bank President Mario Draghi pledged to raise inflation as fast as possible and China unexpectedly cut interest rates. The benchmark gauge has rebounded 11 percent from a six-month low last month. The S&P 500 had plunged as much as 7.4 percent as concern grew Europe was leading a global growth slowdown. Stocks extended gains today after a report showed German business confidence unexpectedly advanced this month. Economic Reports In Germany, the Ifo institute's business climate index rose to 104.7 in November from 103.2 in October. Economists had predicted a decline in the gauge that is based on a survey of 7,000 executives. Preliminary data from Markit Economics at 9:45 a.m. New York time will show the U.S. services industries expanded at a faster pace this month, economists forecast. Reports tomorrow may show the world's largest economy grew at a slower rate in the third quarter than first estimated, while consumer confidence probably climbed in November to a seven-year high. "The U.S. economy is very solid, and we're also starting to see signs that the worst is behind us for Europe," said Allan von Mehren, chief analyst at Danske Bank A/S in Copenhagen. "Investors are starting to position for a global recovery in the first half of next year." The rally in American equities has pushed stock valuations to the highest since the end of 2009. The S&P 500 trades at 17.2 times the projected earnings of its members, up from a multiple of 15.5 last month. Profit for S&P 500 companies may rise 7.6 percent this year, estimates compiled by Bloomberg show. The S&P 500 has closed above its five-day moving average for 26 consecutive trading sessions. If the U.S. benchmark gauge closes above the average today, it'll be the longest such streak in history, according to Jonathan Krinsky, chief market technician at MKM Holdings LLC. The index closed 4.2 percent above its 50-day moving average last week, the widest spread in a year, according to data compiled by Bloomberg. Source: Bloomberg
