Stocks rose and bonds fell Thursday afternoon as investors welcomed a stronger U.S. dollar, falling oil prices, and strong earnings from Ford Motor Company and Apple. After a volatile morning, stocks turned higher just before midday. Early losses had been caused by weak technology-sector forecasts and poor readings on U.S. housing and manufactured goods. U.S. new-home sales in March fell to a 16-year low, the government said in the latest report on the slumping housing sector. Orders for durable goods fell for the third consecutive month in March, a second report said, as manufacturers continued to struggle in the slowing U.S. economy. A third report showed a surprising drop in jobless claims. Light sweet crude oil for June delivery fell $2.24 to $116.06 a barrel on the New York Mercantile Exchange after hitting a record of nearly $120 a barrel earlier in the week. Gold futures fell about 2 percent, and the U.S. dollar rose versus the euro and yen. The Dow Jones industrial average rose 85.73, or 0.7 percent, to 12,848.95. Shares of General Motors rose 6 percent after shares of rival Ford—not a Dow component—jumped over 11 percent after the automaker surprised analysts by reporting a quarterly profit. 3M reported weaker profit and higher sales, both of which beat estimates, though shares of the chemical and consumer-goods company fell 1.5 percent. The broader Standard & Poor's 500 index rose 8.89, or 0.6 percent, to 1,388.82. The technology-heavy Nasdaq composite index rose 23.71, or 1 percent, to 2,428.92. Apple reported quarterly sales and profits that surpassed forecasts, but also issued a current-quarter outlook that was short of expectations. Its shares rose 4 percent. Amazon.com reported profit that topped forecasts, but issued a full-year profit outlook that was short of estimates. Its shares fell 2.5 percent. Chipmaker LSI Logic's quarterly report impressed investors, sending its shares almost 22 percent higher. The New York Stock Exchange composite index rose 12.93 to 9,250.22. The American Stock Exchange composite index fell 22.90 to 2,321.19. And the Russell 2000 index rose 8.96 to 717.07.
