Optimism Over Obama's Plan Boosts Markets

Optimism over President-elect Obama's economic stimulus plan boosted the markets during the midday with the Dow soaring 238 points to 8873. Nasdaq jumped 48 points to 1557.

On the upside

Shares of DryShips (Nasdaq: DRYS) continued to rise as bargain hunters snapped up shares of the shipping company that has lost more than 90% of its market value over the last year.

Regulatory changes to life insurers' capital requirements could free billions to increase cash reserves lifting shares of Genworth Financial (NYSE: GNW).

President-elect Obama's plan for the largest investment in the nation's infrastructure in more than fifty years lifted shares of Alcoa (NYSE: AA).

As part of a restructuring plan to save $700 million annually, Dow Chemical (NYSE: DOW) announced the closure of 20 facilities and the elimination of 5,000 jobs.

On the downside

Williams-Sonoma (NYSE: WSM) swung to a loss for the third quarter as revenue fell. The home good retailer also announced that it will no longer repurchase up to $150 million in stock.

News that the nation lost half a million jobs last month weighed down shares of professional staffing firm On Assignment (Nasdaq: ASGN).

In the broad market, advancing issues outpaced decliners by a margin of more than 4 to 1 on the NYSE and by nearly 3 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks surged 18 points to 479.