Stocks rise after strong US growth

December 20, 2013 - 1:05 PM
Wall Street

FILE - In this Wednesday, Dec. 18, 2013, file photo, trader Warren Meyers, center, works on the floor of the New York Stock Exchange. Investors continued Friday, Dec. 20, 2013 to breathe a sigh of relief that the U.S. central bank has committed to keeping interest rates low even though it has decided to start pulling back on its monetary stimulus. (AP Photo/Richard Drew, File)

NEW YORK (AP) — Stocks are rising on Wall Street, pushing the market further into record territory, after the U.S. raised its estimate for third-quarter economic growth.

The Dow Jones industrial average was up 81 points, or 0.5 percent, to 16,260 in midday trading Friday.

The Standard & Poor's 500 index gained 10 points, 0.6 percent, to 1,820. The Nasdaq composite rose 40 points, or 1 percent, to 4,098.

The economy grew 4.1 percent from July through September, the fastest pace since late 2011, the government reported. A pickup in consumer spending drove the growth.

Red Hat jumped $9.44, or 19 percent, to $58.44 after the software company said its earnings rose nearly 50 percent and beat Wall Street's expectations.

CarMax plunged $4.88, or 9 percent, to $48.22 after its earnings missed analysts' estimates.