Stocks Jump After Tax Cut Extension

• DJIA up 124.35 (+1%) to 12,294.00
• S&P 500 up 11.33 (+0.9%) to 1,265.33
• Nasdaq up 19.19 (+0.74%) to 2,618.64

GLOBAL SENTIMENT

• Nikkei closed
• Hang Seng up 1.37%
• Shanghai Composite up 0.85%
• FTSE-100 up 1.02%
• DAX-30 up 0.46%

U.S. stocks closed higher after Congress approved a tax-cut extension. Adding further impetus was economic data supporting mounting evidence that the U.S. economy may be moving toward more solid footing. The world's largest economy released a "mixed bag" of economic data today, but in the end the positives won out. Of the released data, the highlight was the fact that orders for durable goods in November climbed the most in four months.

Data out today showed November's home sales increasing 1.6% to 315,000 - in-line with expectations, and just above the 310,000 recorded in October.

Orders for long-lasting U.S. goods rose 3.8% in November, the largest gain since July. Economists polled by MarketWatch had expected durable-goods orders to rise 3.6%. Unfilled orders rose 1.3% in November, and inventories gained 0.6%. In October, there was no growth in durable-goods orders.

Personal income and consumer spending came in slightly below expectations, they both rose 0.1% in November. Economists polled by MarketWatch had expected personal income to gain 0.2%, and for spending to also rise 0.2%.

There was no growth in November for the price index for personal consumption expenditures. The core inflation reading, which excludes volatile food and energy costs, rose 0.1% in November, matching economists' expectations.

Overseas, stocks in Asia rose. Europe's debt situation continued to share the spotlight. On Thursday, Italy's Senate gave final approval to a $40 billion emergency austerity and growth package after a lengthy debate, according to media reports. Prime Minister Mario Monti had called for a confidence vote on the measures.

Trading volume was thin on the New York Mercantile Exchange ahead of the long Christmas weekend.

In company news:

ADRs of ING (ING) were up after the Wall Street Journal reported that the Dutch bank plans to raise 745 million euros ($974 million) after completing a debt exchange to raise capital buffers in advance of next year's stress tests from the European Banking Association.

Shares of Exxon Mobil (XOM) were higher as the New York Times reports that the oil major and its partners are squabbling with the government in Iraq over a $50 million payment that the refiners say Iraq owes them.

Shares of Citigroup (C) were lower, while Reuters reports the bank has come back from a scandal in Indonesia to lead the underwriting league table for the country's international bond sales. The move has come with a specific, dedicated team that secures most of the government and state-owned deals, the report said.

Stein Mart (SMRT) reported final results for Q3, including a restatement of previously issued results. The company noted that as the result of information technology systems issues discussed in an early December release, markdowns were understated in the earnings reported on November 17. Revised net loss for the quarter was $3.1 million or $0.07 per diluted share. For the first nine months, revised net income was $14.1 million or $0.31 per diluted share.

Commodities closed mixed. Crude-oil futures closed up 0.2%, to $99.68 a barrel, oil's fifth straight gain and the longest streak since early November. Oil is garnering strength from growing tensions with Iran. This weekend, Iran is planning to engage in naval exercises in the Strait of Hormuz, a key transportation route for oil. Gold futures slipped, as the dollar moved higher. Gold for February delivery fell $4.60 to touch $1,606 an ounce.

UPSIDE MOVERS

(+) BLD, Inks Deal to be Bought by Forsyt

(+) RMBS, Inks Licensing Deal with Broadcom

(+) SPWR, Buying Total's Tenesol Unit, Total Increasing Stake

DOWNSIDE MOVERS

(-) SFLY, Revised Q4 Guidance

(-) CAMP, Down Despite Adjusted Q3 Guidance