NEW YORK - U.S. stocks ended higher Tuesday as Wall Street embraced what was viewed as a more concrete signal from the Federal Reserve that additional monetary easing is coming.
"Investors are more comfortable now banking on the Fed taking action on Nov. 3. They pretty much clarified it for the market and suggested that the bulk of the FOMC [Federal Open Market Committee] agrees," said Jeffrey Kleintop, chief market strategist at LPL Financial. "The market was expecting something more wishy-washy."
The Dow Jones industrial average rose 10.06 points, or 0.1 percent, to end at 11,020.40, with 19 of its 30 components gaining.
The S&P 500 index gained 4.45 points, or 0.4 percent, to 1,169.77, with financial firms the best performers among its 10 industry groups.
The Nasdaq composite index added 15.59 points, or 0.7 percent, to 2,417.92, bolstered by a rise in Apple Inc. after its price target was raised by Barclays Capital and as discount retailer Wal-Mart Stores Inc. said it would begin selling Apple's iPad.
Shares of another tech titan, Google Inc., also advanced after a pair of brokers voiced optimism over the Web giant's improving business prospects.
While the Fed signaled it is ready to take further action if needed, Fed Vice Chairman Janet Yellen on Monday warned that low interest rates could give companies incentive to take on too much risk.
"There is an argument to be made that the financial crisis was started by ultra-low interest rates for too long," Hogan said.
