US stocks closed modestly higher yesterday as investors surveyed a new economic outlook that apparently includes stable interest rates.
A late buying spree pushed the Dow Jones into positive territory. The blue-chip index closed up 5.50 at 11,144.65 after falling more than 50 points early in the session.
Broader stock indicators were also higher. The Standard and Poor's 500 was up 7.84 at 1,505.97, and the Nasdaq Composite rose 52.80 to 4,011.01.
"We saw some very normal profit-taking early in the session. It was simply investors responding to the Fed's decision not to raise interest rates," said Alfred Goldman, director of market analysis at AG Edwards and Sons in St Louis.
Goldman noted that the Dow had risen 640 points in the past two and a half weeks in anticipation of the Fed's decision.
"Now investors can focus on the economy, and they are going to like what they see. It looks like the Fed will be out of our face for the foreseeable future," he added.
