Major Averages Pull Back Off Highs But Holding On To Strong Gains

(RTTNews) - After moving sharply higher in early trading on Tuesday, stocks have continued to perform well over the course of the session. The strong gains on the day have largely offset the notable losses posted in the two previous sessions.

Biotechnology stocks are turning in some of the market's best performances in mid-day trading, resulting in a 2.8 percent jump by the NYSE Arca Biotechnology Index. With the gain, the index has reached a new record intraday high.

Pharmacyclics (PCYC) has helped to lead the biotech sector higher, surging up by 19.3 percent after providing upbeat guidance.

Significant strength also remains visible among airline stocks, as reflected by the 2.7 percent gain being posted by the NYSE Arca Airline Index. The strength in the sector may partly reflect optimism about lower jet fuel costs.

Utilities stocks are also seeing considerable strength on the day, with the Dow Jones Utilities Average advancing by 1.8 percent. The index has reached its best levels of the New Year but remains below the record highs set last month.

Tobacco, internet, software, and semiconductor stocks are also moving notably higher, while gold stocks are among the few sectors bucking the uptrend.

The major averages have pulled back off their best levels of the day but remain firmly positive. The Dow is up 230.65 points or 1.3 percent at 17,871.49, the Nasdaq is up 74.57 points or 1.6 percent at 4,739.28 and the S&P 500 is up 22.63 points or 1.1 percent at 2,050.89.