The Standard & Poor��s 500 Index rose as optimism that the Federal Reserve will continue to support the U.S. economy overshadowed a drop in Internet stocks led by S&P 500 Advances as Fed Optimism Overshadows Internet DeclinesYahoo! Inc. and Groupon Inc.

The S&P 500 gained 0.6 percent to 1,878.22 at 4 p.m. in New York, rebounding after briefly dropping below its average trading level for the past 50 days. The Nasdaq Composite slipped 0.3 percent, paring a earlier drop of 1.5 percent. Yahoo lost 6.6 percent and Groupon tumbled 21 percent as the Dow Jones Internet Composite Index slid 1.9 percent to the lowest level since October.

Technology stocks led this year��s selloff among companies whose growth are more tied to economic swings after a rally drove valuations to about double that of the S&P 500. The Nasdaq Composite is trading at 35 times reported earnings, compared with a multiple of 17.2 for the broad equity measure.

Source : Bloomberg