Market Recap: Did Europe Just Save the World?

[Editors Note: The following is a cross post from Wall St. Cheat Sheet]

Markets closed up on Wall Street today:

• Dow +2.86 percent
• S&P +3.43 percent
• Nasdaq +3.32 percent
• Oil +4.1 percent
• Gold +0.74 percent.

On the commodities front:

• Oil (NYSE:USO) shot the moon to $93.90 a barrel.
• Precious metals were up, with Gold (NYSE:GLD) climbing to $1,735.50 an ounce while Silver (NYSE:SLV) gained $1.80 to settle at $35.11.

Today’s markets were up because:

1) Europe, Europe, Europe: In case you were visiting another planet today, the EU has taken steps toward an all-out bailout. Many see the global financial system hinging on such a plan carrying forward (although Greek bond holders will take a hit, but hey, that’s the risk of investing in the first place). Here’s How European Leaders Agreed to Combat Debt Crisis.

2) GDP: The U.S. economy grew at its fastest pace — 2.5 percent — in a year in the third quarter as consumers and businesses alike stepped up spending, creating momentum that could carry them through the holiday shopping season. It’ll most likely be revised lower later.

3) Industrials: General Electric (NYSE:GE), 3M (NYSE:MMM), and Caterpillar (NYSE:CAT) were off to the races in the “world might not come to an end” trade. But Alcoa (NYSE:AA) led the leaders, pasting on 9.46 percent.

Wow.

Even Exxon (NYSE:XOM) managed to pipe in a gain after earnings only brought in $125.33 billion in revenues. Poor them.