Stocks turned higher Tuesday once investors got the news they had been hoping for: Italian Prime Minister Silvio Berlusconi promised to resign once a new budget was passed. The Dow Jones industrial closed up 101 points.
Italy became a key focus for investors this week after doubts emerged that the country would go through with a tough package of austerity measures. Many investors saw Berlusconi as an obstacle to sweeping economic reforms needed to help Italy avoid sinking into a debt crisis.
The Dow Jones industrial average rose 101.79 points, or 0.8 percent, to close at 12,170.18.
The S&P 500 rose 14.80, or 1.2 percent, to 1,275.92.
The Nasdaq composite rose 32.24, or 1.2 percent, to 2,727.49.
For the week:
The Dow is up 186.94, or 1.6 percent.
The S&P 500 is up 22.69, or 1.8 percent.
The Nasdaq is up 41.34, or 1.5 percent.
For the year to date:
The Dow is up 592.67, or 5.1 percent.
The S&P 500 is up 18.28, or 1.5 percent.
The Nasdaq is up 74.62, or 2.8 percent.