Turnaround for US stocks

US stocks staged an impressive turnaround yesterday, as a bounce in software, chip and internet stocks, as well as continued gains in select blue chips, pushed indexes higher

However, with light volume and little new corporate news, analysts cautioned that any gains were insecure ahead of key speeches from President Bush and Federal Reserve Chairman Alan Greenspan and the one-year anniversary of the terrorist attacks against the United States.

The Dow Jones industrial average rose 92.18 to 8,519.38. The Nasdaq composite gained 9.30 to 1,304.60. The Standard & Poor’s 500 index stood at 902.96, up 9.04. All three major indexes posted solid gains at the end of last week.

“We had a mid-afternoon drift upwards, but I would call it more a lack of selling than buying momentum,” Jennifer Williams, a floor broker at Griswold Co., said.

“We’re looking at added volatility this week because of the September 11 memorial tomorrow, George Bush addressing the UN and Greenspan speaking Thursday,” Ms Williams said.