WALL STREET : DJIA Jumps 186 Points on Solid Earnings, Home Sales

The Dow tagged its highest price in nearly three years
Stocks shot higher out of the gate this morning, with yet another blowout blue-chip earnings report sparking a wave of buying pressure. Right on the heels of an upside surprise from Johnson & Johnson on Tuesday, it was tech titan Intel's turn to storm the earnings stage today. Shares of the chip company gapped higher in the wake of a stronger-than-forecast first-quarter report, creating a halo lift for many of Intel's tech-sector peers.

Fellow Dow member United Technologies also emerged as an earnings winner, with the aerospace issue bolting to a fresh record peak after hiking its full-year forecast. Another round of upbeat housing data also helped the bullish case, as the National Association of Realtors (NAR) noted a 3.7% rise in existing home sales for March. Against this upbeat backdrop, the Dow Jones Industrial Average rallied to its highest price in nearly three years -- while the CBOE Market Volatility Index (VIX - 15.08) sank to its lowest level since mid-2007.

The Dow Jones Industrial Average (DJIA – 12,453.54) ended the day on an impressive gain of 186.8 points, or 1.5%, as 24 of its 30 components closed higher. Intel and United Technologies led the advancing issues, adding 7.8% and 4.3%, respectively. On the other hand, Pfizer paced the six laggards with a 0.7% loss. The Dow peaked at 12,475.53 on an intraday basis, marking its loftiest level since June 6, 2008. As a result of today's rally, the blue-chip barometer ended north of its 10-day moving average for the first time since April 11.

The S&P 500 Index (SPX – 1,330.36) fared similarly well, tacking on 17.7 points, or 1.4%, to reclaim a spot above its own 10-day trendline. However, the SPX peaked at 1,332.66 today, just shy of the key 1,333 level -- a double of its 2009 low. Finally, the Nasdaq Composite (COMP – 2,802.51) conquered a critical technical hurdle, ending its first session above 2,800 since Feb. 18. The COMP collected a daily gain of 57.5 points, or 2.1% -- its best performance since Oct. 5.

Oil Rallies Atop $111 On Supplies, Weak Dollar 
Crude futures surged today, catching a lift from an unexpected decline in domestic inventories. Analysts surveyed by Reuters were banking on oil supplies to rise by 1.1 million barrels last week -- but the Energy Information Administration (EIA) reported a drop of 2.32 million barrels during the week ended April 15, due to lower imports from Venezuela, Iraq, and Mexico. Meanwhile, a weaker U.S. dollar also stoked some buying interest in black gold. Crude oil for June delivery ended on a healthy gain of $3.17, or 2.9%, at $111.45 per barrel.

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