Stocks End Higher As Investors Hope Worst Is Behind Them

U.S. stock indices jumped today, upon news of loosened accounting rules, the G20 agreement for IMF lending, and a rise in factory orders. The Dow, which broke 8,000 points for the first time in two months, ended 216 points up at 7,978 points (+2.79%), while the Nasdaq was up 3.29% and S&P 500 gained 2.87% (and had it's best day since mid-February).

The big news was the change in accounting rules. AP reports, "U.S. accounting standard-setters bowed to congressional and banking industry pressure Thursday and allowed more flexibility in valuing toxic assets that have forced billions of dollars in writedowns." One investment advisor said, "These rules were absolutely the single biggest factor causing the complete turmoil in the credit markets. This changes everything." But the Wall Street Journal points out, "Critics say that altering the rules could make banks' financial health less transparent to investors."

Many are hopeful the rally will continue. Some believe that even the expected-to-be-grim March unemployment number expected tomorrow won't change hurt the optimism. An investor told the Times, "I think the shock value of the employment numbers is starting to wear off. We all know employment’s a lagging indicator.”