Stocks surged Tuesday, with the Dow industrials gaining over 300 points, as millions of Americans worried about the weakening economy voted for the next president of the United States. Analysts say stocks likely will rise whether Democrat Barack Obama or Republican John McCain wins the election because both candidates represent a new administration and both will have to address the troubled economy. While Wall Street would seem to favor business-friendly Republicans, studies show that stocks tend to gain more under Democratic presidents. This week already has brought signs of a recession, including weak readings on manufacturing and factory orders as well as the worst monthly auto sales in 25 years. But lending rates continued to improve Tuesday in response to efforts of the U.S. and world governments to get money flowing again. Light sweet crude oil for December delivery jumped $6.62 to $70.53 a barrel on the New York Mercantile Exchange. The U.S. dollar fell against the euro and gained against the yen. Financial stocks were boosted by a Wall Street Journal report that the U.S. Treasury might buy stakes in a broader range of financial firms, including General Electric's GE Capital Unit and CIT Group. The Dow Jones industrial average rose 305.45, or 3.3 percent, to 9,625.28. Twenty-nine of the index's 30 components rose, led by General Electric—whose shares jumped 8 percent—Citigroup, American Express, and Verizon Communications. The only decliner was Hewlett-Packard. The broader Standard & Poor's 500 index rose 39.45, or 4.1 percent, to 1,005.75. The technology-heavy Nasdaq composite index rose 53.79, or 3.1 percent, to 1,780.12. Several big technology stocks gained, including Intel, Microsoft, Dell, Cisco Systems, and Yahoo. The New York Stock Exchange composite index rose 290.11 to 6,345.09. The American Stock Exchange composite index rose 51.74 to 1,527.06. And the Russell 2000 index rose 7.47 to 545.97.
