Stocks surge to new highs as Ukraine worries ease

Stocks surged Tuesday as traders celebrated reports of a softening of tension in Ukraine. The three major indexes were in positive territory, with the S&P 500 trading at a record high.

The Dow Jones industrial average jumped 192 points, or 1.2%, to 16,360 at 7:55 a.m. PST. The S&P 500 was up 24 points, or 1.3%, to 1,870 and the Nasdaq was up 73 points, 1.7%, to 4,350.

Traders were buying on reports Russian President Vladimir Putin ordered troops participating in military exercises near the Ukraine border to return to their bases.

Among the most actively traded stocks, J.C. Penney Co. was up 56 cents, or 7%, to $8.52; Facebook Inc. was up $1.03, or 1.5%, to $68.44; and Bank of America Corp. was up 21 cents, or 1.3%, to $16.51.

Photos: Top 10 Southern California companies

European markets were also showing sharp gains, with key indexes up 2% in Germany and France.

Other U.S. stocks in the news Tuesday were Qualcomm Inc., which climbed $2.89, or 4%, to $76.51 after the San Diego chip maker announced a dividend increase and stock repurchase plan; and Radio Shack Corp., which was down 37 cents, or 14%, after the electronics retailer said it planned to close 1,100 of its 4,000 stores amid declining sales.

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