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The Dow posted its biggest one-day gain in four months, but shares of American International Group (AIG) fell. The Dow climbed 135.23 points to close at 10,540.93. Besides, both the Nasdaq and the S&P posted gains. The Nasdaq rose 31.79 to close at 2,005.67, while the S&P closed at 1,181.41, after rising 16.05 points.

Today, U.S. stocks had their biggest rally of the year as oil prices fell. Crude oil for May delivery declined 0.4 percent to $53.99 a barrel in New York as a government report showed that U.S. oil inventories rose for a seventh straight week. Besides, Micron Technology Inc. reported better-than-expected earnings, helping computer related shares. It climbed 36 cents to $10.48, and net income for the quarter ended March 3 was 17 cents a share. However, analysts expected 15 cents a share.

American International Group (AIG), the world’s largest insurer, fell $1.04 to $57.16 a share. The insurer, which this month ousted its chief executive officer, said that it engaged in false accounting practices that may have inflated the company’s net worth by as much as 2 percent, or $1.7 billion, during the past 14 years. Also, AIG delayed filing its annual report for a second time, and said that it may restate earnings in last year’s fourth quarter.

The airline sector was strong today, which helped to lift the Dow Jones transportation average by 1.7 percent. AMR Corp. paced an advance among carriers after Merrill Lynch &Co. recommended investors buy shares of the parent of American Airlines. The 10-member Amex Airline Index jumped 5.2 percent, the biggest advance since beginnings of December.

About 28 percent of the number of households with internet connections is expected to file their taxes online in this tax season. The proliferation of e-filling is good news for companies, such as Adobe Systems, that help the federal government process tax forms. Adobe sells its Acrobat product to the Internal Revenue Service.

All the best,
Manuel Jesus-Backus
The Portfolio Crafter