Most stocks up on global growth outlook

Most U.S. stocks rose Tuesday as optimism about global economic growth was overshadowed by disappointing results from Johnson & Johnson and Verizon Communications Inc.

J&J declined 1.1 percent, the most in a month, after its earnings forecast trailed analysts' estimates. Verizon slipped 1.3 percent as subscriber growth slowed from a record. Dow Chemical Co. rallied 6.6 percent after Daniel Loeb's hedge fund Third Point L.L.C. took a stake. Alcoa Inc. jumped 6.8 percent after JPMorgan Chase & Co. recommended buying the stock.

The S&P 500 gained 5.10 points, or 0.28 percent, to 1,843.80. Three stocks rose for every two that fell in the gauge. The Dow Jones industrial sverage lost 44.12 points, or 0.27 percent, to 16,414.44. The Nasdaq gained 28.18 points, or 0.67 percent, to 4,225.76. About 6.8 billion shares changed hands on U.S. exchanges.

The International Monetary Fund raised its forecast for global growth this year as expansions in the United States and United Kingdom accelerate. The global economy will grow 3.7 percent this year, compared with an October estimate of 3.6 percent, according to the report.

European stocks rose to a six-year high, and Chinese shares led gains in Asia after the country's money-market rates fell the most in four weeks.

A five-year rally that lifted the S&P 500 more than 170 percent from a bear-market low has boosted equity valuations to near the highest level since 2009.

The Chicago Board Options Exchange Volatility Index rose 3.5 percent to 12.87. The gauge of S&P 500 options known as the VIX is down 6.2 percent this year.

Eight of 10 industries in the S&P 500 gained, led by utilities, which climbed 1.2 percent. Telephone shares dropped 0.7 percent for the worst performance.

Travelers Cos. lost 1.7 percent to $85 after the insurer said rates charged to customers renewing their policies increased at a slower pace.

Halliburton Co. slid 1.7 percent to $49.78. The energy services company said North American revenue would rise at a "mid-single-digit" growth rate this year. The company in November predicted the expansion at a "high-single digit" pace.

Dow rallied to $45.93. Third Point called for a share buyback and a spin-off of its petrochemicals business.

Alcoa advanced to $12.13. JPMorgan raised its rating on the largest U.S. aluminum producer to overweight, a recommendation similar to buy, from neutral. Chesapeake Energy Corp. advanced 3.9 percent to $26.45.