NEW YORK (AP) - Stocks rose yesterday after a strong report on new home sales offset mixed news from corporate earnings reports. The market was held in check for much of the day after Greece decided to tap a bailout programme.

The Dow Jones industrial average closed higher for the 11th time in the past 12 trading days. Yesterday's gains wrapped up the index's eighth consecutive weekly gain, which matches the longest winning streak for the Dow since a two-month stretch that ended in January 2004.

Sales of new homes jumped 27 percent in March, bouncing off a record low in February, the Commerce Department reported. It was the best month since July and the biggest monthly increase in 47 years. The gains were likely fueled by customers who are trying to qualify for federal tax credits that will expire at the end of this month.

Stocks got another dose of good news on the housing sector on Thursday, when the National Association of Realtors said sales of existing homes also rose last month.

Joe Heider, principal at Rehmann in Cleveland, said the home sales report is a strong indication that consumers are growing more confident about the economy.

"We're seeing that people have the confidence to make the biggest purchase of their lives," Mr. Heider said. "And that bodes well for the markets."

Shares of homebuilders including PulteGroup Inc. and Lennar Corp. rose for a second day as hopes rose that the troubled housing sector may finally be on the mend. Housing has been one of the hardest-hit sectors in the economy, helping to the economy into recession in late 2007.

Gold and oil rose after the housing report, pushing shares of energy and materials stocks higher throughout the day.

According to preliminary calculations, the Dow rose 69.99, or 0.6 percent, to 11,204.28. The Standard & Poor's 500 index rose 8.61, or 0.7 percent, to 1,217.28, while the Nasdaq composite index rose 11.08, or 0.4 percent, to 2,530.15.

Five stocks rose for every two that fell on the New York Stock Exchange. Volume came to 1.2 billion shares.

Some mixed earnings had dragged stocks early in the day before the strong housing numbers boosted major indexes.

Dow components Microsoft Corp. and Travelers Cos. both fell after their quarterly results failed to impress investors.

Travellers fell after its first-quarter profit missed expectations because of severe winter storms in the US and the earthquake in Chile. Travelers fell 41 cents to $53.38.

Microsoft's 35 percent jump in earnings was not enough for investors. Investors were looking for bigger growth in corporate spending after other technology companies showed a big rebound in that area. Its shares fell 43 cents to $30.96.

The technology-heavy Nasdaq was being hurt by a disappointing earnings outlook from Amazon.com Inc. Its shares fell $6.46, or 4.3 percent, to $143.63.

Homebuilders were the big gainers on the day. Pulte shares rose 71 cents, or 5.7 percent, to $13.19. Lennar jumped 79 cents, or 4 percent, to $20.53.

In Europe, stock indexes rose after Greek officials said they would tap a rescue package from the 15 other countries that use the euro and the International Monetary Fund. The move gives Greece better interest rates on its debt than it would be able to get from private investors.

Some remained skeptical, however, if the bailout would provide a long-term solution to Greece's debt woes.

Investors also expect that other weak European countries such as Portugal may require help, further undermining confidence in the euro, Europe's shared currency.

The dollar fell against the euro after rising earlier in the day to touch its highest level in a year.

Bond prices fell as investors moved into stocks.

The yield on the benchmark 10-year Treasury note rose to 3.82 percent from 3.78 percent late on Thursday.

The Russell 2000 index of smaller companies rose 7.61, or one percent, to 741.92.

Overseas, Britain's FTSE 100 rose 1 percent, Germany's DAX index gained 1.5 percent, and France's CAC-40 rose 0.7 percent. Japan's Nikkei stock average fell 0.3 percent.