LONDON (ShareCast) - US markets advanced for the fourth consecutive session on Tuesday, with investors speculating that the European Central Bank (ECB) might boost economic stimulus, while Apple drove the benchmarks forward after strong results.
At 10:37 New York time, the S&P 500 gained 1.10% to 1,924.96 points, while the Dow Jones Industrial Average rose 0.44% to 16,472.13 and the Nasdaq Composite jumped 1.45% to 4,378.49.

Following what some analysts described as a 'bloodbath' for hedge-funds over the last few weeks the latter may be about to get what they most wanted, more easing measures from the ECB. At the time of writing the reports are still a tad mixed but investors do seem nevertheless to be lending them some credence.

In any case, the 'fact' remains that someone in Frankfurt, where the ECB is headquartered, seems to be talking about possibly extending the ECB's asset purchase programme to cover corporate bonds.

Meanwhile, sales of existing homes rose 2.4% in September to a seasonally adjusted annual rate of 5.17m, growing at the fastest pace in the last 12 months and coming back from an unexpected drop in August.

The reading was largely in line with analysts' expectations that had forecast the sales rate to increase from 5.05m to 5.1m but, according to figures released by the National Association of Realtors, September's pace of sales fell 1.7% year-on-year.

Apple rose early on after reporting a 13% rise in profit after the bell on Monday, boosted by strong demand for its new bigger-screen iPhones, as the California-based technology giant exceeded analysts' expectations.

Morgan Stanley lifted its price target on Apple from $110 to $115, as analysts at the investment bank predicted that increasing iPhone demand and gross margin expansion will drive the share price up even further.

Travelers Cos and United Technologies both rose marginally after posting results, while McDonald's shares slid after the fast-food giant saw its profit drop by 30% in the third quarter.

Coca-Cola fell sharply after the company's revenue dropped and the soft-drinks producer warned it had lowered its long-term revenue target and announced it did not expect to meet its earnings view.

Chipotle Mexican Grill shares dropped sharply after the firm warned sales growth might slow, despite reporting better than expected earnings late on Monday, while Yahoo edged forward ahead of its results, which are due after the bell on Tuesday.

The dollar rose slightly against the pound and more significantly against the euro but dropped back against the yen.

West Texas intermediate crude rebounded after a couple of negative sessions, gaining about one percentage point and trading at just under $83 a barrel, while gold futures edged forward to $1,251.90.

The yield on the 10-year Treasury note rose two basis points to 2.22%, while the yield on the 30-year US note edged forward by the same margin to 2.98 and the yield on the five-year Treasury note moved forward by three basis points to 1.43.

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