3 Min Read
* Fed's Lockhart: Too early to lay out full stimulus exit
* Orbitz shares tumble as major shareholder cuts stake
* Dow up 0.4 pct, S&P 500 up 0.2 pct, Nasdaq up 0.3 pct
By Havovi Cooper
NEW YORK, Aug 13 (Reuters) - U.S. stocks rebounded on Tuesday after a top Fed official said the economic picture is too mixed for the U.S. central bank to detail its exit strategy from massive stimulus.
Atlanta Fed President Dennis Lockhart said recent data does not present a clear picture of the economy even as he did not rule out some kind of decrease next month in the $85 billion monthly pace of bond buys currently under way.
Data on Tuesday showed consumer spending rose in July at its fastest pace in seven months and small business optimism was improving, while import prices rose less than expected during the month and inventories at U.S. businesses were flat in June.
"Although retail sales weren't disappointing, the overall economic numbers still haven't proven themselves period over period for the Fed to act faster," said Stephen Carl, head of U.S. Equity Trading at the Williams Capital Group in New York.
The Dow Jones industrial average rose 58.58 points or 0.38 percent, to 15,478.26, the S&P 500 gained 5.43 points or 0.32 percent, to 1,694.9 and the Nasdaq Composite added 10.694 points or 0.29 percent, to 3,680.64.
U.S.-traded shares of BlackBerry soared 10 percent to $11.82 a day after the company said it is weighing options that could include an outright sale. The stock is up 27 percent since Reuters first reported on Friday that the company is thinking of going private.
US Airways shares lost 8.6 percent to $17.19 after the Justice Department filed an antitrust lawsuit to block its merger with American Airlines parent AMR Corp.
Shares of Delta Airlines fell 8.4 percent to $19.28 and United Continental dropped 6.3 percent to $31.11.
J.C. Penney shares fell 2.7 percent to $12.81 after initially rising on news activist investor William Ackman had resigned from its board on Monday.
Shares of travel website Orbitz were down more than 12 percent to $10.25 after one of its largest investors, PAR Capital Management, said it sold 8.1 million of its 24.6 million-share stake in the company. Orbitz was the biggest percentage loser on the New York Stock Exchange.
Yum Brands Inc fell 3.2 percent to $72.08 a day after the fast food chain operator said July China sales slid 13 percent.
Eli Lilly and Co rose 4 percent to $55.72 after it said its experimental lung cancer drug increased survival in a late-stage trial.