Index

A gauge of homebuilder optimism rebounded this month as mortgage rates hovered near record lows and increased job creation fueled housing demand. The National Association of Home Builders/Wells Fargo's index of builder confidence rose to 70 this month from a seven-month low of 67 in April. Readings greater than 50 mean builders view market conditions as more positive than negative. The index exceeded 50 starting in December 2001. "Builders obviously continue to see strong buyer demand for single-family homes," David Seiders, the association's chief economist, said in a statement.

NEW YORK -- Americans' confidence in the economy slipped in March, and prospects for future months dimmed as well, although both gauges stuck close to recent months' high levels.The Conference Board said yesterday that its overall index of consumer confidence fell to 118.5 in March from a revised 118.9 in February, the highest level in almost eight years. Last month's index was originally reported as 118.4. Economists surveyed by Bloomberg News had expected a reading of 117.7 for this month's index.

WASHINGTON -- The biggest part of the U.S. economy expanded in February at the fastest pace in 15 months, the Institute for Supply Management's index of service companies, builders and other nonmanufacturing companies showed yesterday. The better-than-expected expansion adds to reports of factory growth, rising construction and increases in incomes and spending that show the economy is rebounding from the recession that began a year ago. The institute's index of non-manufacturing business, which accounts for about four-fifths of the U.S. economy, rose to 58.7, from 49.6 in January.

Just as the final nail was about to be driven into the mortgage-refinancing coffin, homeowners again are scrambling to take advantage of still relatively low interest rates. After declining 80 percent from its all-time high set in late May, the Mortgage Bankers Association's refinance index bounced in the week that ended Sept. 5, increasing 45.5 percent. The increase in the index followed nine weeks of declines. The seasonally adjusted index tracks the number of refinancing applications.

The economies of both Baltimore and Washington sagged in the spring of this year, Grant Thornton, a national accounting and management consulting firm, said yesterday. .Baltimore fared a little better than Washington, however, in terms of retail sales, and its overall economic performance was better than the average of the 24 cities included in the latest quarterly economicsurvey, called the Grant Thornton Index.The index is based on six economic indicators -- factory hours, non-farm employment, construction permits, retail sales, business starts and business failures -- and the national money supply, commonly called the M2.Its base measurement of 100 was calculated on those seven statistics as they stood in January 1985, said John Koegel, a Grant Thornton spokesman in New York.

NEW YORK -- U.S. stocks ended mostly higher yesterday, and over-the-counter issues closed at a record high, after investors saw a weekend revolt against Russian President Boris N. Yeltsin fizzle.Investors downplayed the sluggish economy amid conflicting reports that left unclear just how strong the economic recovery might be.The surrender of opponents of Mr. Yeltsin after a weekend revolt heartened investors and proved his ability to stay in power, said Don Hays, director of investment strategy at Wheat First Butcher & Singer in Richmond, Va.If Mr. Yeltsin forms a parliament more receptive to modernizing the economy, "he might be able to go forward a bit," Mr. Hays said.

NEW YORK -- U.S. stocks closed mixed yesterday a renewed concern about a rise in the inflation rate vied with strong demand for computer and telecommunications issues.The Dow Jones industrial average finished down 5.54, at 3,444.39, almost 22 points above its session low of 3,422.52.The market recouped much of its early losses in the final hour after Johnson Redbook Service reported U.S. retail sales were up 1.2 percent in mid-May compared with April and jumped 10.4 percent from the same period last year, traders said.

The U.S. consumer inflation rate dropped significantly in October and touched its lowest level since June as surging gasoline prices fell from their peak in September, the federal government reported yesterday. But lower prices at the pump, which have receded further in November, might not be enough to tame inflation in coming months as heating bills start climbing and businesses pass their higher costs on to customers, some economists said. The Consumer Price Index rose 0.2 percent last month after gaining 1.2 percent in September and 0.5 percent in August, the Labor Department reported.

Know your skin.That's the first step when determining how to use the information from the National Weather Service's new ultraviolet radiation index, says Dr. Kenneth Judd, a dermatologist. The index is intended to help people avoid overexposure to the sun, which contributes 700,000 to 1 million new cases of skin cancer each year, according to the Atlanta-based Centers for Disease Control and Prevention."The sun index is helpful," says Dr. Judd, who's on staff at the Greater Baltimore Medical Center.

NEW YORK -- U.S. stocks soared yesterday, driving the PTC Standard & Poor's 500 Index over 500 for the first time, amid optimism about stable interest rates and robust corporate profits. Technology issues led the advance.Stocks rallied after a government report showed factory orders for big-ticket goods, such as televisions and washing machines, fell in February for the first time since October."The ideal scenario, which is what the market seems to have in sight, is a recovery that slows, but not too much," said Charles Crane, director of research at Spears Benzak Salomon & Farrell.