NEW YORK: US stock markets were higher on Friday, despite a poor Italian bond auction that provided the latest twist in Europe's long-running debt crisis.
The Dow Jones Industrial Average rose 88.93 points (0.79 percent) to 11,346.48 shortly after the open.
The broader S&P 500-stock index rose 9.15 points (0.79 percent) to 1,170.94, while the tech-rich Nasdaq rose 15.04 points (0.61 percent) to 2,475.12.
Italy had to pay record rates to raise 10 billion euros ($13.2 billion), sparking more share selling, analysts at Briefing.com suggested.
Italy was forced to pay a rate of 6.5 percent on bonds due in six months and of 7.81 percent on bonds due in two years -- dangerous levels that analysts say could make Italy insolvent within months. There was more bad news from Hungary.
Moody's on Thursday downgraded Hungary's government bonds by a notch to Ba1 with a negative outlook, the ratings firm said. "Moody's Investors Service has today downgraded Hungary's government bond rating by one notch to Ba1 from Baa3, and is maintaining a negative outlook," it said.
But the US markets nonetheless found upward momentum in a slow holiday-shortened session Friday.
Johnson & Johnson and Hewlett-Packard were the only two Dow components in the red. US bond market was mixed.
The interest rate paid on US 10 year debt rose to 1.95 percent from 1.88 percent late on Wednesday. The rate for 30 year was 2.90 percent versus 2.91.
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