BEN BERNANKE, GENIUS:

S&P 500 breaches 1,300 mark: Broad gauge at May 2001 high after Fed Beige Book (Mark Cotton & Leslie Wines, Mar 15, 2006, MarketWatch)

U.S. stocks rallied to a higher close Wednesday, with the S&P 500 breaching the 1,300 mark for the first time since May 2001, after a Federal Reserve report showing the economy growing at a steady pace with few inflationary pressures.

The report raised hopes the central bank could end its cycle of interest-rate increases. The Fed has been lifting short-term rates in a bid to slow the economy and curb inflationary pressures.

The S&P 500 Index climbed 5.54 points to end at 1,303.02. The last time the broad gauge closed above 1,300 was on May 22 2001.

The Dow Jones Industrial Average rose 58.43 points to 11,209.77. The benchmark index is also at its best level since May 2001.

The Nasdaq Composite Index climbed 15.94 points to 2,311.84.