Stocks gain in early trading

Associated Press + More

By STEVE ROTHWELL, Associated Press

NEW YORK (AP) — Stocks rose in early trading Monday ahead of the start of second-quarter corporate earnings reports.

The Dow Jones industrial average rose 91 points, or 0.6 percent, to 15,226. The Standard & Poor's 500 index gained nine points, or 0.6 percent, to 1,641. The Nasdaq composite rose 14 points, or 0.3 percent, to 3,490.

Aluminum producer Alcoa, traditionally the first company in the Dow to report earnings, will report its second-quarter earnings after the markets closes. Record company earnings have been a big support for stock prices this year, pushing stocks markets to record highs.

In government bond trading the yield on the 10-year government note fell to 2.67 percent from 2.74 percent Friday. The yield on the note had surged on Friday to its highest level since August 2011.

The yield, which moves inversely to the bond's price, had jumped after the government reported strong hiring for June on Friday. Investors believe that the improving jobs market will prompt the Federal Reserve to ease back on its bond buying program. The central bank is currently buying.

In commodities trading, the price of oil slipped 60 cents, or 0.6 percent, to $102.65 a barrel. The price of gold rose $17.60, or 1.4 percent, to $1,230.50 an ounce.

Among stocks making big moves today;

Dell gained 31 cents, or 2.4 percent, to $13.33 after a top proxy advisory firm recommended that Dell shareholders vote in favor of a deal that would allow the company's founder and an investment firm to buy the computer maker and take it private. Michael Dell and Silver Lake Partners have offered to buy Round Rock, Texas-based Dell Inc. for $13.65 per share, or a total of $24.4 billion.

Alcoa rose 4 cents to $7.85. The Aluminum producer is scheduled to report its second-quarter earnings after the closing bell Monday.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.