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Alcoa was the first major company to announce second-quarter results. The aluminum maker late Monday reported a loss that wasn't as big as financial analysts feared. The company benefited from strong demand for aluminum used in autos and airplanes, although that was offset by weaker prices. Traders weren't impressed by the results, though. After rising initially, the stock ended down 1 cent, or 0.1 percent, to $7.91. Yum Brands, which owns KFC, Pizza Hut and Taco Bell, and Family Dollar Stores are among the companies reporting their earnings this week. JPMorgan Chase and Wells Fargo will also report. The Dow Jones industrial average rose 75 points, or 0.5 percent, to 15,300.34. The S&P 500 index gained 11 points, or 0.7 percent, to 1,652.32 The Nasdaq composite rose 19 points, or 0.6 percent, to 3,504.26 The S&P 500 gains were led by industrial firms and companies that provide raw materials. Telecommunications companies, which investors turn to when the economic outlook is gloomier, fell. The S&P 500 is now just 1 percent below its May 21 record of 1,669. It was down almost 6 percent to 1,573 on June 24. Stocks have recovered since Fed Chairman Ben Bernanke said that the central bank planned to reduce its economic stimulus. The central bank is buying $85 billion in bonds a month to keep interest rates low and encourage borrowing and spending. That stimulus has been a major support in the stock markets' four-year bull market. In government bond trading, the yield on the 10-year Treasury note was unchanged from Monday at 2.64 percent. The yield has pulled back after surging to 2.74 percent Friday, its highest level in almost two years, after the government reported strong hiring for June. In commodities trading, the price of oil rose 17 cents, or 0.2 percent to $103.33 a barrel. Gold rose $12, or 1 percent, to $1,246.90 an ounce. Among other stocks making big moves: Barnes and Noble rose 64 cents, or 3.6 percent, to $18.32 after the bookseller said Monday that its CEO is leaving after three years. The company didn't name a replacement.
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