U.S. Stocks Climb After Obama Backs Deficit Plan; Apple Rallies
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U.S. stocks rose, sending the Standard & Poor’s 500 Index to its biggest rally since March, as President Barack Obama endorsed a bipartisan deficit-reduction plan. Equity futures rose after U.S. markets closed as Apple Inc.’s profit topped estimates on record iPhone and iPad sales.
International Business Machines Corp. and Coca-Cola Co. climbed 5.7 percent and 3.3 percent, respectively, as they led a group of companies reporting higher-than-estimated earnings. All 12 stocks in an S&P gauge of homebuilders advanced after U.S. housing starts increased to a five-month high. Bank of America Corp. fell 1.5 percent after reporting the biggest quarterly loss in its history.