Stocks rose in the afternoon to finish higher in a volatile session Monday, with financial, technology, and commodity shares leading the advance. Stocks rallied in the morning on positive U.S. economic reports but fell around mid-day before rising in the last hour of trading as short-term investors bought a variety of shares. Three U.S. economic reports released Monday helped reassure investors that the recovery is on track. The Institute for Supply Management (ISM) reported its index of manufacturing activity rose to 55.7 last month from 53 in September. A reading above 50 reflects growth in the sector, while a reading below 50 indicates contraction. The government reported that construction spending rose unexpectedly by 0.8 percent, led by a big jump in residential construction. The National Association of Realtors (NAR) reported the number of signed sales contracts to buy homes rose in September for the eighth consecutive month. Pending home sales rose by a more-than-expected 6.1 percent in September. The U.S. dollar fell versus the euro, trading near the 14-month low it hit last week. The dollar gained versus the yen. Light sweet crude for December delivery rose $1.13 to $78.13 a barrel on the New York Mercantile Exchange after falling sharply the previous session. Gold for December delivery rose. In company news, small-business lender CIT filed for bankruptcy protection Sunday as part of a reorganization plan that is supported by most of the company"s debtholders. It was the fifth-biggest bankruptcy in U.S. history. Ford Motor posted its first quarterly profit in more than a year, earning $1 billion. Shares of the automaker jumped nearly 8 percent. The Dow Jones industrial average rose 76.71, or 0.8 percent, to 9,789.44. The broader Standard & Poor"s 500 index rose 6.69, or 0.65 percent, to 1,042.88. The technology-heavy Nasdaq composite index rose 4.09, or 0.2 percent, to 2,049.20. The New York Stock Exchange composite index rose 45.49 to 6,784.94. The American Stock Exchange composite index fell 12.48 to 1,739.75. And the Russell 2000 index fell 0.37 to 562.40.
