NEW YORK: Global equity markets and crude oil rose after more data pointed to an improving US economy and helped offset any fallout from the Cyprus bailout.
Brent crude futures swung between gains and losses, while US crude pushed higher on supportive economic data. Brent rose 22 cents to $ 108.39 a barrel, in the middle of the $ 107 to $ 109 range of the past two weeks. US crude gained 88 cents to $ 95.69 a barrel.
"Solid housing data showing rising home prices pointed to a US economy that continues to rebound, helping boost US crude," said John Kilduff, partner at Again Capital in New York.
Wall Street advanced on reports that showed demand for long-lasting US manufactured goods surged in February while US single-family home prices started the year with the biggest annual increase since June 2006.
But a report from the Conference Board, an industry group, showing Americans turned more pessimistic in March about short-term prospects, caused consumer confidence to tumble and added a note of caution to a market still skittish over Cyprus.
The benchmark S&P 500 index remained just below its all-time closing high, as it has been for more than two weeks.
Michael Sheldon, chief market strategist at RDM Financial in Westport, Connecticut, said investors needed to see further improvement in economic data for equity markets to hold this year's gains.
The euro edged higher against the US dollar but remained near four-month lows as concerns lingered over the negative implications of a rescue plan for Cyprus, and if it would serve as a template for other euro zone economies requiring bailouts.
The single currency remains vulnerable to concern investors may shun euro zone assets or withdraw money from banks in countries like Spain and Italy.
"There's uncertainty in Europe as for what is the blueprint when (economies) need to be rescued," said Sheldon. "The market trend continues to be higher but investors are gun-shy in light of recent gains."
The Dow Jones industrial average .DJI was up 87.97 points, or 0.61 percent, at 14,535.72. The Standard & Poor's 500 Index .SPX was up 8.56 points, or 0.55 percent, at 1,560.25. The Nasdaq Composite Index was up 10.48 points, or 0.32 percent, at 3,245.78.
MSCI's all-country world index, which tracks 6,000 stocks in 45 countries, rose 0.22 percent to 358.59.
In Europe, the FTSEurofirst 300 of leading regional shares closed 0.21 percent higher at 1,188.89.
"Markets are struggling to find direction due to the confusing position taken by authorities in relation to Cyprus, although they're continuing to react to positive data from the US," said Henk Potts, market strategist at Barclays.
The euro last traded at $ 1.247, down 0.02 percent on the day, not far from Monday's low of $ 1.2829, its lowest since Nov. 22.
Political uncertainty in Italy and a diverging economic backdrop with the US, along with concerns over any fallout from Cyprus' crisis, may limit the single currency's upside, with a bleak outlook in the euro zone starkly contrasting with an improving US landscape.
US government debt and other safe-haven assets were lower. The benchmark 10-year US Treasury note was up 1/32 in price to yield 1.9163 percent.
Gold, which typically benefits from economic uncertainty, pushed to a three-week high of $ 1,616.36 an ounce last week on worries over the Cyprus bailout, but dropped to a 1-1/2 week low of $ 1,589.49 on Monday after the 11th-hour rescue.
Spot gold prices fell $9.91 to $ 1,594.90 an ounce.
