LONDON (ShareCast) - US stocks are still trading sharply higher after Italy’s Senate approved its austerity measures, easing fears over the Eurozone’s escalating debt crisis. Meanwhile, some economic data closer to home helped cement gains.

By 2:03PM in New York, the Dow was up 267 at 12,156 (+2.23%), the Nasdaq was 55 higher at 2,680 (+2.08%), while the S&P 500 had risen 24 to 1,264 (+1.98%).

ITALY DRIVES GAINS, YIELDS FALL

Italy’s Senate has approved its fiscal austerity package, a key part of its efforts to bring the chaotic situation in the country’s debt markets under control. In turn, that opens the way, partly, to the replacement of the current Prime Minister. Some expect the lower chamber of parliament to vote tomorrow.

Of interest, the head of the European Financial Stability Fund, Klaus Regling, has urged Italy to act swiftly even as he indicated that the fund is ready to step in and help if necessary.

Amongst the measures approved are reductions in central government expenditures, the implementation of a public spending review and measures to enhance revenues to the tune of €59.8bn in savings, an amount equivalent to 3.4% of GDP. Particularly relevant, apparently, the statutory retirement age of women working in the private sector, for example, will be gradually increased from 60 to 65 by 2026.

Italian 10-year government bond yields tumbled as a result, falling to 6.45% at the London close.

Meanwhile, the University of Michigan’s preliminary consumer confidence survey for this month rose to 64.2, a five-month high, up from 60.9 in October; above estimates of 61.3.

DISNEY LEADS THE RISERS

Walt Disney is jumping higher after reporting record earnings. The firm’s net income reached $1.1bn in the fourth quarter, 30% higher than last year, on revenues that rose 7% to $10.4bn.

Earnings from graphics card maker Nvidia were flat though despite seeing third quarter profits double.

Investors seem to dislike department store chain operator Dillard’s results.

E-Trade, the broker, fell after its board of directors decided not to pursue a sale of the company.

Merck is registering strong gains for a second day.

UBS has downgraded shares of Conagra to neutral from buy, causing them to fall. Citi has upgraded Genworth Financial to hold from sell.

S&P 500 - Risers
Walt Disney Co. (DIS) $36.97 +6.73%
Staples Inc. (SPLS) $15.42 +6.05%
Juniper Networks Inc. (JNPR) $25.17 +5.89%
Ryder System Inc. (R) $53.06 +5.76%
Computer Sciences Corp. (CSC) $26.64 +5.55%
AK Steel Holding Corp. (AKS) $9.02 +5.50%
Genworth Financial Inc. (GNW) $6.91 +5.49%
Corning Inc. (GLW) $15.34 +5.28%
Host Hotels & Resorts Inc. (HST) $14.07 +5.24%
Sandisk Corp. (SNDK) $51.87 +4.96%

S&P 500 - Fallers
E*TRADE Financial Corp. (ETFC) $9.15 -3.53%
ConAgra Foods Inc. (CAG) $24.83 -1.97%
D. R. Horton Inc. (DHI) $11.45 -1.80%
Valero Energy Corp. (VLO) $25.28 -1.30%
Nordstrom Inc. (JWN) $49.17 -0.91%
Eastman Kodak Co. (EK) $1.13 -0.88%
Estee Lauder Co. Inc. (EL) $115.32 -0.57%
Federated Investors Inc. (FII) $17.45 -0.23%
Apple Inc. (AAPL) $384.51 -0.18%
J. M. Smucker Co. (SJM) $76.90 -0.04%

Dow Jones I.A - Risers
Walt Disney Co. (DIS) $36.97 +6.73%
Caterpillar Inc. (CAT) $96.05 +4.18%
Hewlett-Packard Co. (HPQ) $27.79 +3.85%
Bank of America Corp. (BAC) $6.24 +3.57%
Alcoa Inc. (AA) $10.61 +3.49%
Boeing Co. (BA) $66.96 +3.29%
United Technologies Corp. (UTX) $79.98 +3.24%
Intel Corp. (INTC) $24.84 +3.24%
Merck & Co. Inc. (MRK) $35.99 +2.93%
Microsoft Corp. (MSFT) $27.03 +2.85%

Dow Jones I.A - Fallers

Nasdaq 100 - Risers
Foster Wheeler AG (FWLT) $20.79 +6.67%
Staples Inc. (SPLS) $15.42 +6.05%
Lam Research Corp. (LRCX) $44.84 +5.93%
Research in Motion Ltd. (RIMM) $18.51 +5.32%
Sandisk Corp. (SNDK) $51.87 +4.96%
Autodesk Inc. (ADSK) $34.21 +4.55%
KLA-Tencor Corp. (KLAC) $48.46 +4.55%
Liberty Interactive Corp (LINTA) $15.84 +4.49%
Wynn Resorts Ltd. (WYNN) $124.89 +4.45%
Citrix Systems Inc. (CTXS) $74.25 +4.45%

Nasdaq 100 - Fallers
Activision Blizzard Inc. (ATVI) $12.86 -0.90%
Vertex Pharmaceuticals Inc. (VRTX) $31.70 -0.88%
Teva Pharmaceutical Industries Ltd. ADS (TEVA) $40.40 -0.48%
Apple Inc. (AAPL) $384.51 -0.18%
Garmin Ltd. (GRMN) $34.91 -0.17%

AB

Email this article to a friend

or share it with one of these popular networks:

• DIGG
• FACEBOOK
• STUMBLEUPON
• MIXX
• YAHOO BUZZ
• DELICIOUS
• REDDIT
• NEWSVINE