Steady buying in Treasuries sent prices up and their yields, which move in the opposite direction of prices, down. The yield on the benchmark 10-year note closed at 4.7 percent - its lowest in 10 days. The dip in yields, which are used to set rates, has not yet affected mortgage rates, which are holding near Monday's levels.

Retail sales plunged 1.3 percent in February - the sharpest decline in six months. Analysts were expecting them to fall 0.8 percent. Excluding auto sales, retail sales were down 0.4 percent. Although weak auto sales contributed to the disappointing numbers, sales were down in almost all sectors. The one positive note was due to a strong upward revision of January sales, which rose to 2.9 percent from the initial report of a 2.3 percent gain.

Business inventories in January rose 0.4 percent - double the 0.2 percent that was forecast, but half of the December increase of 0.8 percent. Business sales, however, jumped 1.3 percent, indicating that manufacturers might have to get busy restocking lean supplies.

Equity markets on a roll

Wall Street looked at falling interest rates and a "wow" quarterly report from investment banker Goldman Sachs and decided it was a good day to buy - a good day, indeed. The three major equity indexes racked up big numbers, while looking past a weak report from Procter & Gamble and rising oil prices, which climbed $1.33 to $63.10 a barrel. Goldman Sachs blew past earnings expectations and boosted the fortunes of other brokerage houses, while strength in airlines, home builders and semiconductors helped the broader market to its best day in quite a while.

Gains in the Dow Jones industrials were due to only four losers rather than a host of big gainers. Procter & Gamble shed 3.2 percent on disappointing guidance, while GM fell 1 percent due to its debt rating being downgraded further into junk status. Ford, not a Dow component, suffered a similar fate.

Interest-sensitive stocks, which have been dragging on the Dow since interest rates began climbing, took leadership positions today. Alcoa and 3M added 1.9 percent and 1.8 percent, respectively, while Honeywell rose 1.6 percent. Caterpillar joined in with a 1.3 percent gain, and Exxon jumped 1.95 percent. But Home Depot took first place, today, outgaining the other 29 components with a 2.23 percent increase.

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