U.S. Stocks Rally on Manufacturing, Prospects for Irish Bailout

U.S. stocks rallied, sending major equity benchmarks to their biggest gains in two weeks, as speculation grew that Ireland will accept a bailout to rescue indebted banks and reports on manufacturing and jobless claims bolstered optimism about the economy.

Alcoa Inc. and Halliburton Co. climbed at least 3.4 percent as metals prices jumped and crude oil rebounded from a four-day drop. Caterpillar Inc. advanced 2.4 percent as the world’s largest maker of construction equipment said global retail sales of machines soared 48 percent. General Motors Co. rose 3.6 percent on its return to public trading following a $20 billion initial public offering.