* Indexes add to year-end rally, S&P up 11.6 pct in 2010
* Boeing, American Express pressure Dow
* Banks rise, helped by regional institutions
* Dow off 0.1 pct, S&P up 0.3 pct, Nasdaq up 0.3 pct
* For up-to-the-minute market news see []
(Updates to close)
By Leah Schnurr
NEW YORK, Dec 20 (Reuters) - U.S. stocks tacked on further
gains to push the S&P 500 to a two-year high on Monday,
continuing a steady upward march investors believe will
continue in 2011.
Volume was light, as is expected through the rest of 2010.
Investors stayed with sectors that have led a sharp December
rally, including financials, energy and materials stocks. The
S&P 500 is up 5.7 percent for the month and 11.8 percent for
the year.
"We have seen this year-end rally refuse to give up any
ground," said Bucky Hellwig, senior vice president at BB&T
Wealth Management in Birmingham, Alabama.
The combination of improving economic data, additional
stimulus from the Federal Reserve and the extension of tax cuts
was keeping equities in demand, Hellwig said.
The financial sector <.GSPF>, which has lagged the broader
market, was up 0.4 percent as some investors bet the sector
could be among the leaders next year after a strong December.
However, American Express <AXP.N> tumbled 3.4 percent to
$42.50 after Stifel Nicolaus downgraded the stock to "hold"
from "buy."
Boeing Co <BA.N> also kept gains in check. The stock was
down 2.7 percent to $63.27 after the Seattle Times newspaper
said a delivery delay could be announced for the plane maker's
787 Dreamliner aircraft. []
The Dow Jones industrial average <> dipped 13.78
points, or 0.12 percent, to 11,478.13. The Standard & Poor's
500 Index <.SPX> added 3.17 points, or 0.25 percent, to
1,247.08. The Nasdaq Composite Index <> rose 6.59 points,
or 0.25 percent, to 2,649.56.
U.S. markets will be closed on Friday to observe the
Christmas Day holiday on Saturday.
Energy shares led the way up as the price of oil rose
nearly 1 percent in choppy trading. Chevron <CVX.N> added 0.4
percent to $88.88.
Amazon.com <AMZN.O> helped boost the Nasdaq on optimism the
company will benefit from improved holiday spending. According
to research firm comScore, U.S. online sales are up 12 percent
to $27.5 billion so far this season compared with a year ago.
[]
Shares of Amazon gained 3.2 percent to $183.29, while the
S&P consumer discretionary sector <.GSPD> was up 0.6 percent.
Amex shares are down 7.8 percent since last Thursday when
the Federal Reserve proposed limiting debit interchange fees at
12 cents per transaction.
Stifel said the company is increasingly exposed as a cut in
fees "will significantly increase pressure on higher-cost
payments alternatives like Amex." []
Nick Kalivas, senior equity index analyst at MF Global in
Chicago, said some of the optimism over the financial sector
was sapped by last week's proposal.
"There was the feeling there could be some opportunities in
the banks and I think the interchange (proposal) cooled that,"
said Kalivas.
Food and beverage company Sara Lee Corp <SLE.N> has been in
talks to sell itself to Brazilian meat producer JBS <JBSS3.SA>,
but the two companies are at odds over price, a source said.
Sara Lee shares rose 2.5 percent to $17.69. []
(Reporting by Leah Schnurr; Editing by Kenneth Barry)
