(Bloomberg) -- Stocks climbed after strong economic data added to evidence the recovery is gaining momentum, with traders also assessing a batch of corporate earnings. The dollar retreated.Most major groups in the S&P 500 advanced, led by financial, tech and commodity shares. The Russell 2000 of small caps outperformed major benchmarks. Tesla Inc. and Apple Inc. paced gains in megacap stocks. Blue chips Honeywell International Inc., American Express Co. and Intel Corp. weighed on the Dow Jones Industrial Average after reporting quarterly results.Equities whipsawed this week amid a flare-up in global coronavirus cases and news that the White House plans to propose almost doubling the capital-gain tax rate for the wealthy. Investors also waded through corporate outlooks and economic readings, with data showing U.S. new-home sales rebounded in March to the highest since 2006. Meanwhile, a gauge of output at manufacturers and service providers reached a record high in April, adding to evidence of stronger demand.“It’s evident the U.S. economy continues to be on the right track,” Jeff Schulze, investment strategist at ClearBridge Investments, said this week. “Going forward what the market is going to be looking for is continued economic momentum. This is the beginning of a more sustained move toward value and cyclicals.”Other corporate highlights:Kimberly-Clark Corp., the maker of Scott toilet paper, reported a steep sales decline that signaled the potential end of a boon triggered by the pandemic.Schlumberger, the world’s biggest crude contractor, said it expects a gradual recovery of oil demand to boost overseas work through the end of this year.Comparing U.S. stocks to high-yield bonds makes equities “look less stretched,” according to Jeroen Blokland, a manager of multi-asset funds at Robeco. While the Cboe Volatility Index, or the VIX, set a 14-month low last week, the yield spread for the Bloomberg Barclays U.S. Corporate High-Yield Index reached its narrowest since July 2007 in the previous week. “Equities are relatively attractive versus high yield” on this basis, he wrote in a blog post.These are some of the main moves in markets:StocksThe S&P 500 rose 1.2% as of 1 p.m. New York timeThe Nasdaq 100 rose 1.4%The Dow Jones Industrial Average rose 0.7%The MSCI World index rose 0.8%The Russell 2000 Index rose 1.5%CurrenciesThe Bloomberg Dollar Spot Index fell 0.3%The euro rose 0.5% to $1.2077The British pound rose 0.1% to $1.3857The Japanese yen was unchanged at 107.97 per dollarBondsThe yield on 10-year Treasuries rose two basis points to 1.56%Germany’s 10-year yield was little changed at -0.26%Britain’s 10-year yield was little changed at 0.74%CommoditiesWest Texas Intermediate crude rose 0.7% to $62 a barrelGold futures fell 0.3% to $1,778 an ounceFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.