US STOCKS-Wall St rallies on China stimulus, earnings

lunes 20 de abril de 2015 11:44 GYT

* Hasbro reports surprise revenue rise, shares jump

* Royal Caribbean falls as strong USD hurts onboard spending

* Indexes up: Dow 1.4 pct, S&P 1 pct, Nasdaq 1.2 pct (Updates to midday)

By Rodrigo Campos

NEW YORK, April 20 (Reuters) - U.S. stocks rose on Monday, reversing much of the previous session's sharp decline, as China's steps to stimulate its slowing economy and as earnings lured money back into equities.

In the second industry-wide cut in two months, China's central bank on Sunday reduced the amount of cash that banks must hold as reserves in a move to help spur bank lending and combat slowing growth.

"China was part of a two-pronged news event that caused part of the selloff on Friday. The move over the weekend changed that perspective and caused a little bit of a boost today," said Randy Frederick, managing director of trading and derivatives for Charles Schwab in Austin.

Morgan Stanley shares rose 1.2 percent to $37.19 after the Wall Street investment bank reported a 60 percent rise in quarterly profit and raised its dividend by 50 percent to 15 cents per share.

Hasbro jumped 9.5 percent to $72.16 after the toymaker reported a surprise increase in revenue. Royal Caribbean fell 7.8 percent to $72.85 after it reported a fall in revenue, saying a strong dollar hurt onboard spending by customers from outside the United States.   Continuación...