Headline: Wall Street buoyed by QE3 speculation
US stocks rose in early trading on Monday as traders looked to the Federal Reserve to signal another round of quantitative easing after four weeks of sustained losses in stock markets.
Fed chairman Ben Bernanke will speak Friday at an annual retreat of central bankers in Jackson Hole, and some traders are already pricing in further stimulus.
“The market is expecting another round of asset purchases and it will come,” said Matthias Jasper, head of equities at WGZ Bank AG.
The S&P 500, which had traded close to its year-low of 1,101.54 on Friday, was up 1.9 per cent in the first minutes of trading at 1,144.46.
The rally was led by heavily traded stocks, including Goodyear , up 5.0 per cent at $11.42 in early trading and Autodesk , up 4.4 per cent at $24.45.
Source: ft.com
