(Bloomberg) — Stocks climbed as prospects for a pickup in growth outweighed concern over inflation pressures at a time when the Federal Reserve is getting ready to wind down its pandemic-era stimulus.

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Promising results for Merck & Co.’s experimental Covid-19 pill triggered a rally in companies that stand to benefit from an economic reopening. Commodity and financial shares were among the biggest gainers in the S&P 500, while a gauge of small caps jumped 1.7%. Airlines, cruise operators, hotels and amusement parks soared.

“We continue to advise investors to buy winners from global growth,” said Mark Haefele, chief investment officer at UBS Global Wealth Management. “Positive sentiment will return as recent headwinds abate and the focus shifts back to the outlook for solid economic growth and strong earnings.”

A measure of American manufacturing expanded at the fastest pace in four months, bolstered by…

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