Wall Street climbs on tech stocks

US markets close higher as tech stocks rally, despite IMF read on economy.

US stocks have closed higher after tech stocks made a recovery from three days of heavy losses.

Outside of the tech sector, investors were largely cautious ahead of the release of the first batch of earnings reports and on news the International Monetary Fund slightly reduced its global growth forecast.

At the closing bell, the Dow Jones Industrial Average had inched up 10.40 points, or 0.06%, to 16,256.27, while the broad-based S&P 500 lifted 6.92 points, or 0.38%, to 1,851.96.

The tech-heavy Nasdaq Composite Index jumped 33.23 points, or 0.81%, to 4,112.99, reversing a three-day slide.

Tech stocks have had a tough fortnight, with the Nasdaq underperforming the Dow and S&P 500 for six straight trading days late last month, while the tech-heavy index had its worst day in two months on Friday in marking a 2.6% retreat.

Meanwhile, the IMF has said the global economy will expand 3.6% this year, down 0.1% on the forecast it released in January.

“The recovery which was starting to take hold in October is becoming not only stronger, but also broader,” IMF chief economist Olivier Blanchard said.

“Although we are far short of a full recovery, the normalisation of monetary policy -- both conventional and unconventional -- is now on the agenda.”

Investors were eagerly awaiting quarterly profit numbers, with Alcoa to usher in the start of earnings season after the closing bell.

In Europe, stocks slid for a third straight day on heightened worries about the Ukraine crisis.