US stocks higher on hopes of Cyprus deal

US stocks moved higher Wednesday in anticipation of a possible resolution to the Cyprus crisis and the outcome of a two-day Federal Reserve monetary policy meeting. About 35 minutes into trade, the Dow Jones Industrial Average rose 76.45 (0.53 percent) to 14,532.27. The broad-based S&P 500 jumped 8.84 (0.57 percent) to 1,557.18, while the tech-heavy Nasdaq Composite Index increased 19.71 (0.61 percent) to 3,248.80. Briefing.com analyst Patrick O'Hare attributed the rise in the S&P 500 to "headlines suggesting Cyprus may be on the verge of working out a solution with Russia to its financial problems." The market also was looking ahead to the Federal Open Market Committee's post-meeting statement that was expected to reaffirm the Fed's loose monetary policy. Federal Express slipped 4.2 percent after reporting earnings that came in below expectations. The company also gave a tepid outlook for 2013, noting "accelerating customer preference for lower-yielding international services." American Realty Capital Properties, a real estate investment trust specializing in commercial properties, fell 0.8 percent after announcing that it proposed to buy Cole Credit Property Trust III for more than $9 billion, including assumption of debt. Homebuilder Lennar Corp. edged up 0.6 percent after reporting solid quarterly earnings and observing strong trends in the housing market, such as higher home prices. Williams-Sonoma leaped 7.8 percent after announcing a 41 percent dividend increase and a three-year $750 million stock repurchase program. Anadarko Petroleum and its partners moved higher after announcing a significant petroleum discovery in the Gulf of Mexico. Anadarko rose 4.0 percent, Cobalt International leaped 9.9 percent, Marathon Oil added 1.9 percent and ConocoPhillips climbed 0.8 percent. Valeant Pharmaceuticals gained 3.1 percent after announcing a plan to acquire Obagi Medical Products, another pharmaceutical company. Obagi surged 7.0 percent. Bond prices fell. The yield on the 10-year Treasury rose to 1.95 percent from 1.91 percent late Tuesday, while the 30-year rose to 3.17 percent from 3.13 percent. Prices move inversely to yields.