U.S. Stocks Benefit From China's Nearly $600B Stimulus Plan

U.S. stocks are benefiting today from China's newly announced $586 billion economic stimulus plan. The China plan equals about one-fifth of the country's GDP last year and will be used by the end of 2010. The news eased concerns that construction spending will slow in China, the world's fastest growing economy.

Commodity stocks are performing the best this morning on the news. Leading copper company, Freeport-McMoRan (NYSE: FCX) is up 8%, aluminum producer Alcoa (NYSE: AA) is up 7% and steel company U.S. Steel (NYSE: X) is up 4%.

Physical commodities are also higher today on the news. Gold spot is up 2.3% to $753, Silver spot is up 3.2% and Crude is up 5.7%. Commodity ETFs: SPDR Gold Shares (NYSE: GLD) +2.2%, iShares Silver Trust (AMEX: SLV) +3%, United States Oil (AMEX: USO)

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