Wall Street shares Close higher as consumer confidence data boosts optimism

NEW YORK (AFX) - Share prices closed broadly higher as investor confidence continued to improve after a stronger-than-expected March consumer confidence index, dealers said.	    The DJIA closed up 260.01 points at 9,947.54, the S&P 500 index gained 29.49 to 1,182.18. The Nasdaq composite was up 53.74 points at 1,972.23.	    Dealers said the unexpectedly strong consumer confidence report boosted the view that consumer spending will keep the U.S. economy from going into recession.	    Salomon Smith Barney head of global trading Nick Angiletta said the coming of the end of the quarter also had a positive effect on equities. Money managers are engaging in the typical "window dressing," putting money to work in the stronger niches of the market.	    He added that the loosening of monetary policy by the Federal Reserve is also a positive catalyst for the stockmarket. "Never fight the Fed," said Angiletta.	    The ongoing rally, which Angiletta believes can continue in the short-term, will be tested by the upcoming earnings season. "We'll soon start to see earnings," and investors will get a better idea of the corporate and economic outlook for the rest of 2001.	    However, Angiletta added that the Fed's stance on interest rates is seen as more important, at least for now, than corporate earnings.	    The pharmaceutical sector was particularly active, mostly on the upside. However, Johnson & Johnson closed down 2.13 usd at 83.25 after confirming it will acquire Alza Corp, up 0.25 at 39.00, for 10.5 bln usd in stock.	    The financial sector rebounded from its early weakness as the stockmarket turnaround strengthened the industry's prospects and consumer confidence improved expectations for more borrowing.	    Citigroup rose 2.25 at 46.45, Morgan Stanley added 2.10 to 56.60.	    JP Morgan Chase was up 1.25 at 43.36 shrugging off a Lehman Brothers research note, which projected that capital markets weakness will pressure its first-quarter earnings.	    In the technology arena, Vitesse, down 4-7/8 at 29-1/16, was in focus after cutting its second quarter EPS estimate to 10-11 cents from 21-22 cents. However, other chip makers managed to close the session in positive territory, with Micron Technology up 1.13 at 48.00 and Intel up 1-1/16 at 29-3/8.	    In the telecom sector, AT&T closed up 0.42 at 22.94 following reports that the company is discussing the possibility of bundling its business service division with that of British Telecom.	    Lucent closed down 0.29 at 11.70 after Standard & Poor's may downgrade the company's debt to junk bond status is Morgan Stanley decides to sell its 1.6 bln usd debenture in Lucent. The company was not helped by the late-session announcement that it will float part of Agere this week.	    The airline sector continued to strengthen, shrugging off the second day of pilot strikes at Delta's Comair.	    Delta rose 0.63 to 40.33, UAL gained 1.14 to 34.04, AMR added 1.21 to 36.48. 

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