Nation Briefs 03-05-14 Stocks surge; S&P sets record high, as it increases to 1,873


Stocks are surging after Russia pulled its troops back from the border of Ukraine.

The Dow Jones industrial average jumped 227 points, or 1.4 percent, to close at 16,395 Tuesday.

The Standard & Poor's 500 index set another record high following a slump the day before. The S&P 500 rose 28 points, or 1.5 percent, to 1,873. The Nasdaq composite rose 74 points, or 1.8 percent, to 4,351.

Traders were relieved that Russian President Vladimir Putin ordered troops participating in military exercises near Ukraine to return to their bases.

Small-company stocks rose even more than the rest of the market as investors moved money into riskier assets. That shift also pushed the prices of bonds and gold lower.

The yield on the 10-year Treasury note rose to 2.70 percent.

Third Corvette plucked from sinkhole: Workers have plucked a third Corvette from a giant sinkhole that swallowed eight classic cars at the National Corvette Museum in Bowling Green, Ky. More painstaking work lies ahead to retrieve the five cars still buried deep in the hole beneath the museum. Progress continued Tuesday when a 1962 black Corvette was extracted by a crane. John Spencer, a manager at the GM Corvette Assembly Plant in Bowling Green, said the car has body damage but can be repaired.

Starts review of recall procedure: General Motors' new CEO Mary Barra is starting an internal review of the company's practices after an embarrassing recall of 1.6 million older small cars. CEO Barra said in an email to employees that the review will hold the company accountable and improve processes so the problem doesn't happen again. Barra said she's also leading a group of executives who will handle the response and monitor progress on the recall. She said GM's reputation will be determined by how the company handles the problem.

Government ends investigation: The federal government is closing an investigation into 1.6 million Ford vehicles that can lose engine power after Ford agreed to a remedy. The yearlong investigation involves Ford Escape and Mercury Mariner SUVs and Ford Fusion and Mercury Milan sedans from the 2009 through 2013 model years. Vehicles with 2.5-liter and 3.0-liter engines can suddenly lose power because of material buildup in the electronic throttle body motor. The engines don't stall, but vehicle speeds can drop as low as 5 miles per hour. Ford and the National Highway Traffic Safety Administration have received nearly 12,000 complaints about the issue. There have been three reported accidents and one reported injury related to the problem.

Longtime rep faces runoff: A conservative former U.S. attorney forced the oldest member of the U.S. House into a runoff election Tuesday night in Texas for the Republican nomination. Ralph Hall, seeking an 18th and final term in his Texas congressional seat, did not win 50 percent of the vote in the Republican primary in Texas' 4th Congressional District, which stretches from Rockwall north and east toward Sherman and Texarkana. He'll face challenger John Ratcliffe in a May 27 runoff. The 90-year-old Hall is a World War II veteran who has served in Congress since 1980, and he had declared that this year's re-election campaign would be his last.

Kramer ousted as majority leader: Republicans in the Wisconsin Assembly ousted Rep. Bill Kramer as majority leader Tuesday after accusations that he sexually harassed one woman and inappropriately touched another. Hours later, they replaced him for the time being with state Rep. Pat Strachota, R-West Bend. She is not seeking re-election this fall, so Assembly Republicans will have to find someone else for the post in 2015, when the next session starts. The Republican caucus took the vote to remove Kramer after meeting in closed session for 90 minutes. The tally was taken by secret ballot, but state Rep. Joan Ballweg, R-Markesan, said afterward the vote was unanimous.

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