The US markets advanced on Tuesday, propelling the Dow Jones Industrial Average to its highest close since late 2007, after a report showed that US manufacturing expanded in April, offsetting concern about the economic recovery. Growth among US manufacturers expanded in April at the fastest pace in 10 months, according to a closely followed survey. The Institute for Supply Management stated its survey of senior executives in the manufacturing sector rose to 54.8% from 53.4% in March, the highest reading since June 2011. However, several Federal Reserve officials expressed reluctance to buy more assets, a strategy known as quantitative easing, to help the economy. In a series of interviews and speeches across the country, central bankers suggested the Fed should stay on the sidelines, keeping its powder dry in case the economy weakens.
The Dow Jones Industrial Average closed higher by 65.69 points, or 0.50 percent, at 13,279.30. The S&P 500 gained 7.91 points, or 0.57 percent, at 1,405.82, while the Nasdaq was up by 4.08 points, or 0.13 percent, at 3,050.44.
Indian ADRs closed mostly in green on Tuesday; ICICI Bank was up 0.18%, Tata Motors was up 0.13% and Infosys Technologies was up 0.07%. On the flip side, HDFC Bank was down 0.505 and Sterlite Industries was down 0.04%.