Traders work on the floor of the New York Stock Exchange on Oct. 17, 2013.(Photo: Richard Drew, AP)
USA TODAY - Stocks jumped Friday as investors sent the Standard & Poor's 500 index to another record close on better-than-expected corporate earnings and accelerating economic growth in China.
The S&P 500 rose 11.35 points, or 0.7%, to close at an all-time high of 1,744.50 and hit a new intraday high of 1,745.31.
The Dow Jones industrial average gained 28 points, or 0.2%, to 15,399.65 and the Nasdaq composite index surged 51.13 points, or 1.3%, to 3,914.28 as Google shares surged past $1,000.
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"We've moved from the dysfunction of Washington to the reality of the global economy, and it looks pretty good," said Ron Florance, deputy chief investment officer at Wells Fargo Private Bank.
In corporate earnings, both General Electric and Morgan Stanley topped Wall Street expectations for the third quarter. GE shares gained 3.5% and Morgan Stanley rose 2.6%.
Google jumped $122.61, or 13.8%, to close at $1,011.41, topping $1,000 a share for the first time after the Internet company reported a profit of nearly $3 billion during the third quarter, up 36% from a year earlier and exceeding estimates.
China's economic growth rebounded in the latest quarter to 7.8% from a two-decade low of 7.5% in the second quarter, helped by government stimulus measures. Hong Kong's Hang Seng index rose 1.1% to 23,340.10 on the news and China's Shanghai composite index added 0.3% to 2,193.78. Japan's Nikkei 225 bucked the positive trend, dropping 0.2% to 14,561.54.
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Regional markets in Europe tracked higher on the last trading day of the week. The U.K.'s FTSE 100 index of leading British shares was up 0.7% to 6,622.58, while Germany's DAX rose 0.6% to 8,865.10. The CAC-40 in France rose 1.1% to 4,286.03.
In energy markets, benchmark crude for November delivery was up 12 cents at $100.79 a barrel in electronic trading on the New York Mercantile Exchange. The contract dropped $1.62 to $100.67 on Thursday.
The yield on the 10-year Treasury note was flat at 2.59%.
On Thursday, the S&P 500 jumped 0.7% to 1,733.15, the day after Congress passed a debt deal and averted a government default. The Dow fell 2.18 points to 15,371.65. The Nasdaq rose 23.71 points, or 0.6%, to 3,863.15, a 13-year high.
(Copyright © 2013 USA TODAY)