By IANS,
New York: US stocks rallied in early trading Monday as investors were expecting European leaders to take decisive measures to tackle the contagious debt problems, Xinhua reported.
French President Nicolas Sarkozy and German Chancellor Angela Merkel met Monday in Paris, trying to concoct measures to boost budget discipline in the region.
Investors were hoping that the leaders of the two most important countries in the eurozone can iron out differences and come up with more radical solutions to the deteriorating European debt crisis before a key EU summit later this week.
Meanwhile, investors felt a little bit relieved as Italy’s new Prime Minister Mario Monti brought his austerity package to the parliament, which includes spending cuts and tax increases.
The Dow Jones industrial average gained 138.73 points, or 1.15 percent, to 12,158.15. The Standard & Poor’s 500 rose 15.93 points, or 1.28 percent, to 1,260.21. The Nasdaq Composite Index jumped 25.57 points, or 0.97 percent, to 2,652.50.