1:00PM NY, 5:00 PM Frankfurt European markets closed higher, led by leisure stocks.

European stock markets reversed from earlier losses to close in the positive on Wednesday. Gains followed a rebound in sentiment throughout markets as well as upbeat leisure sector results. Nokia stood out among gainers with an advance of 6.4% after announcing a new online music and games service. Meanwhile, health-care stocks Roche Holding and Merck KGaA helped limit gains. Across regional markets, the U.K. rose 0.5%, followed by France, up 0.4% and Germany which finished unchanged.

In Frankfurt DaimlerChrysler was in the spotlight, with its shares rising 0.26% after announcing a 7.5 billion euro stock buyback and saying it won''t take as big a charge for selling 80% of Chrysler to Cerberus. Air Berlin advanced more than 6% although the carrier posted a steep earnings drop.

In Paris stocks advanced, led by Accor. The hotel operator rose 5.8% after it reported better-than-expected first-half earnings and announced a 500 million euros share buyback. Among other advancers, Vivendi gained 1.8%, boosted by a notable increase in first-half profit. However, financial stocks traded lower. Societe Generale and BNP Paribas declined 0.7% each on concerns that credit-market troubles will hurt investments and weigh on earnings.

In London gains were paced by PartyGaming. Shares of the online gambling company hit an all-time high, jumping 23% on better-than-expected earnings, helped by a sharp rise in new customers. Another notable gainer was hotel and restaurant operator Whitbread which advanced 3.47% after the company announced a stock repurchase program. Barclays shares rose 1.87% amid reports that it has no more than 75 million pounds of exposure to troubled investments.


11:30AM Market averages traded higher. Fed to inject another $5.25 billion.

U.S. market averages continued to post solid gains Wednesday, boosted by bargain-hunting after recent sell-off. Fed Reserve’s announcement that it would inject $5.25 billion through a one-day repurchase agreement somewhat eased investor concerns about shrinking credit. Investors also kept an eye on the credit markets. The safest assets, Treasurys, were actively traded, while, more risky assets, like commercial paper, failed to attract a lot of attention.

In corporate news, Altria Group (MO: chart) gained 0.7% after it said that it will pursue a spinoff of Philip Morris International unit to its shareholders and will increase company''s quarterly dividend to 75 cents a share from 69 cents.

Tech stocks posted considerable strength in late morning trading. Gainers were led by Seagate Technology (STX: chart) which rose 5% after the world''s top maker of hard-disk drives raised its Q1 earnings and revenue forecasts. Apple Inc. (AAPL: chart) rose 4.4% and Dow component Hewlett-Packard Co. (HPQ: chart) climbed 2.5%.

The Dow rose 123.07, or 0.94% to 13.164.92, after falling 280 points on Tuesday. The blue-chip average was led higher by Intel (INTC: chart), up 3.4%, General Motors (GM: chart) which gained 2.6% and Home Depot (HD: chart), rising 2.7%.

Most of the sectors posted strength with steel, oil, and tech stocks standing out as the strongest performances. At the same time, the biotech sector was one of the few sectors trading in the negative. The Standard & Poor''s 500 index added 13.79, or 0.96%, to 1,446.15, while the Nasdaq composite index gained 29.06, or 1.16% to 2,529.70. The yield on the benchmark 10-year Treasury note was at 4.51%, down from 4.52% late Tuesday.


09:45AM Wall Street rallied at opening, with Dow rising 100 points.

Wall Street rallied at opening Wednesday, as investors took advantage of cheap buying after a heavy plunge in the previous session. The Dow Jones industrials jumped nearly 100 points. Leading gainers on the blue-chip average included General Motors Corp. (GM: chart), up 2.3%, Intel Corp. (INTC: chart), rising 2% and Alcoa Inc. (AA: chart), moving up 1.6%. Altria Group (MO: chart) also provided a boost with its shares rising 1.6%, as the company is expected to announce a spinoff of its cigarette business, Philip Morris International.

Among companies in focus, DaimlerChrysler (DAI: chart) released its first full earnings report without Chrysler. The car maker said its net income fell 14% to $2.5 billion, or $2.36 a share, with revenue down 3% to $32.24 billion. It also noted that it will take a smaller charge that it had previously expected from selling most of the U.S. automaker. Daimler also said its financial services division produced a flat operating profit of $297 million. Company''s shares rose 3.5%.

Further on the earnings news front, Big Lots (BIG: chart) jumped 8.5% after it said its Q2 profit rose on higher same-store sales and lower costs, beating analyst estimates. The closeout retailer also lifted its full-year profit guidance. Williams-Sonoma (WSM: chart), a household goods and decor retailer, reported better-than-expected Q2 earnings and raised its full-year profit target. The stock climbed 7.6%. Double Hull Tankers (DHT: chart) posted 11% profit increase in Q2 on strong charter rates and continued demand for its vessels.

The Dow rose 91.04, or 0.70%, to 13.132.89, after falling 280 points on Tuesday. The Standard & Poor''s 500 index added 10.76, or 0.75%, to 1,443.12, while the Nasdaq composite index gained 21.08, or 0.84%, to 2,521.72. Bonds fell slightly Wednesday, with the yield on the benchmark 10-year Treasury note at 4.53%, up from 4.52% late Tuesday.


09:00AM U.S. stock futures pointed to a higher opening after Tuesday rout.
U.S. stock futures pointed to recovery Wednesday after a huge sell-off in the previous session, sparked by renewed concerns about economic growth and uncertainty whether the Fed Reserve will cut interest rates to stop credit turmoil from spreading further. On Wednesday, investors decided to take advantage of cheap buying on hopes that the stock market will soon overcome its volatility. As there are no major economy reports due out today, credit markets and corporate news will be in the spotlight.