Blue-chip earnings fuel Wall Street gains

NEW YORK -- Stocks rose on Wednesday after Intel Corp, JPMorgan Chase & Co and other blue chips posted quarterly results that reassured investors after a string of disappointments last week.

JPMorgan, the third-largest U.S. bank, reported $2.37 billion in quarterly profit. The bank said it has a strong capital position and "solid business momentum" but gave a bleak outlook for the economy and capital markets.

Intel, the world's largest chip maker and Dow component, late on Tuesday posted revenue just above market expectations and affirmed its full-year profit margin target. Coca-Cola Co reported results that beat analysts' expectations, citing a favorable currency translation that lifted revenue.

"When you see a tech bellwether, a consumer products bellwether and a big financial all clocking in with good numbers, it makes you a bit of a believer," said Edward Bretschger, director of equity sales and trading at Calyon Securities in New York.

The Dow Jones industrial average was up 128.97 points, or 1.04 percent, at 12,491.44. The Standard & Poor's 500 Index

was up 14.34 points, or 1.07 percent, at 1,348.77. The Nasdaq Composite Index was up 33.18 points, or 1.45 percent, at 2,319.22.

Shares of JPMorgan were up 4.7 percent to $44.11. The results helped boost shares of JPMorgan's competitors, with Citigroup Inc stock up 2.8 percent to $23 and Bank of America stock up 2.3 percent to $36.38.

Elsewhere in the financial sector, shares of Wells Fargo & Co jumped 6.2 percent to $29.51 after the No. 5 U.S. bank reported a narrower-than-expected decline in profit as solid revenue gains and lower expenses helped offset a increase in bad loans.

Intel shares gained 5.7 percent to $22.10. Coca-Cola stock edged up 0.3 percent to $61.12.

Adding to the positive tone on Wall Street, the government said consumer prices rose less than economists had forecast as cheaper prices for clothing helped to offset a modest rebound in energy prices.

(Agencies)