Earnings reports push stocks up slightly Wednesday

Associated Press

NEW YORK

Stocks rose modestly Wednesday after companies reported higher earnings but gave mixed forecasts about how the fragile economy and rising costs will affect their growth.

Target Corp., Staples Inc. and Dell Inc. reported earnings for last quarter that were above analysts’ forecasts. Companies in the Standard & Poor’s 500 are on track to report higher profits for a ninth-straight quarter. But economic growth is weak around the world, and some economists worry that a second recession may be coming. That could hurt companies’ earnings in the future — and kept investors from buying with more enthusiasm Wednesday.

Dell’s forecast added to investors’ concerns: It cut its prediction for revenue growth this year. Target and Staples gave profit forecasts that were above Wall Street’s expectations.