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May 20, 11:55 AM EDT

Wall Street heads higher, led by small-company stocks; Russell index crosses 1,000

AP Photo/Richard Drew

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Are Stocks Bouncing Back?

NEW YORK (AP) -- The stock market is edging higher in midday trading, led by small-company shares.

The Russell 2000 index of small company stocks crossed 1,000 points for the first time Monday. It's up 18 percent this year, more than other major market indexes.

The rally in small stocks is a sign investors are more willing to take risk. It also means they're more optimistic about the U.S. economy versus Europe, which is still mired in recession.

The Dow Jones industrial average was up 28 points at 15,382, a gain of 0.2 percent.

The Standard & Poor's 500 was up four points at 1,671, or 0.3 percent.

The Nasdaq rose nine points to 3,508, or 0.3 percent.

Actavis rose 3 percent after the pharmaceutical company said it's buying Warner Chilcott.

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