US STOCKS-Wall St rallies on data, euro strength

* U.S. private sector job creation jumps in November

* Euro surges against U.S. dollar as official comments

* Chinese factory data supports global growth bets

* Indexes up: Dow 2.3 pct, S&P 2.2 pct, Nasdaq 2.3 pct

* For up-to-the-minute market news see [STXNEWS/US]
(Updates to early afternoon, changes byline)

By Chuck Mikolajczak

NEW YORK, Dec 1 (BestGrowthStock) – U.S. stocks (Read more about the stock market today. ) surged 2 percent on
Wednesday on hopes European officials would take drastic
measures to stabilize euro zone finances.

Stocks extended gains after an official said the U.S. would
be ready to back a larger European financial stability fund.
The growing euro zone debt crisis has sunk markets in recent
weeks, making any step toward resolution important to sustained
market recovery.

“The real problem that derailed the markets two years ago
was the lack of a coordinated effort to support economies,”
said Eric Kuby, chief investment officerb at North Star
Investment Management Corp in Chicago.

“This coordination is very positive to remind investors
global (governments) remain accommodative and are not going to
let economies fail and will not allow the contagion or spread
of crises.”

U.S. economic data provided another bullish factor for
stocks. Private employers added the biggest jobs gains in three
years and manufacturing grew for a 16th month running. For
details see [ID:nN01127417] and [ID:nTOE6B001C]

Incremental signs of hope have prompted only short-lived
bursts of optimism. The EU/IMF rescue of Ireland last weekend
was overshadowed by concerns about Portugal and other

The Dow Jones industrial average (.DJI: ) gained 253.54
points, or 2.30 percent, to 11,259.56. The Standard & Poor’s
500 Index (.SPX: ) climbed 25.76 points, or 2.18 percent, to
1,206.31. The Nasdaq Composite Index (.IXIC: ) advanced 57.16
points, or 2.29 percent, to 2,555.39.

The S&P 500 (.SPX: ) traded above its 14-day moving average
for the first time in eleven sessions and was having its best
day in almost a month, pushing through the recent resistance
point of 1,200.

“”If we close above 1,200, the next stop is 1,225 to
1,230,” said Tom Alexander, head of Alexander Trading in
Savannah, Georgia.

That target area coincides with a recent two-year high and
the 61.8 percent Fibonacci retracement of the benchmark’s slide
from October 2007 to March 2009, a key technical indicator.

The economic optimism helped boost the Dow Jones
Transportation Average index (.DJT: ), which posted its second
gain of more than 2 percent in less than a week, catapulting it
to its highest level since September 2008. Wednesday’s advance
was led by gains in FedEx Corp (FDX.N: ), up 4 percent at $94.72,
and CSX Corp (CSX.N: ), up 3.2 percent at $62.77.

Also advancing was the S&P 500 retail sector index (.RLX: ),
up 2 percent to 500.05, its highest level since September 2007,
Reuters data showed, reflecting an optimistic outlook for the
holiday shopping season.
(Additional reporting by Rodrigo Campos and Manuela Badawy;
Editing by Kenneth Barry)

US STOCKS-Wall St rallies on data, euro strength