By Kate Gibson, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks rose on Monday, extending
gains into a third session, as Wall Street looked to Alcoa Inc. to
begin the second-quarter earnings reporting season.
Alcoa (AA) shares rose 0.3%. The aluminum producer and Dow
component will release results after the market close.
"Alcoa has been notorious for reporting 'manufactured earnings
surprises" in the past, Nick Raich, CEO at the Earnings Scout,
wrote in an email. He noted that Alcoa is expected to earn six
cents in its second-quarter, but one week ago the estimate was nine
cents, a month ago 11 cents and three months ago 14 cents.
"So, if Alcoa reports seven or eight cents a share today, is
that really a positive surprise?" Raich asks.
The Dow Jones Industrial Average (DJI) climbed 67.02 points, or
0.4%, to 15,202.86.
The S&P 500 index (SPX) rose 7.49 points, or 0.5%, to
1,639.38.
The Nasdaq Composite (RIXF) advanced 13.4 points, or 0.4%, to
3,492.77.
The S&P 500 climbed 1.6% last week after
better-than-expected economic reports curbed worry about a
potential reduction in Federal-Reserve stimulus. The central bank's
intentions could become more apparent when the Federal Open Market
Committee releases minutes from its June meeting on Wednesday.
The June jobs report had employers adding more jobs than
projected last month. Other reports showed jobless claims declining
and the manufacturing sector improving.
Dell Inc. (DELL) shares gained 2.3% after Institutional
Shareholder Services Inc. urged approval of founder Michael Dell's
buyout proposal for the computer company.
Priceline.com (PCLN) shares rose 2.6% after Morgan Stanley
upgraded its shares to overweight.
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