YAHOO [BRIEFING.COM]: Sellers threatened to drag stocks lower for the third straight session, but buyers showed resolve and pushed all three of the major indices higher.

Helped by news that the Treasury is planning to extend bailout funds to insurers, stocks started the session on positive footing. Though an official statement has yet to be made, many expect beaten down names like Lincoln National (LNC 9.15, +2.26) and Hartford (HIG 9.59, +1.14) to benefit.

Despite the strength of insurers, the financial sector, as a whole, lagged the broader market for virtually the entire session. Regional banks (-2.4%), investment banks and brokerages (-1.2%), and diversified financial services stocks (-0.9%) weighed on the sector.

Pulte Homes (PHM 9.64, -1.13) proved the housing market still has a pulse by announcing it will acquire Centex (CTX 9.06, +1.41) for $10.50 per share, which marks a premium of almost 38% for shares of Centex from their closing price Tuesday.

However, some of the hope that the housing market may be turning was dashed when the minutes from the FOMC March 18 meeting indicated that committee members did not consider an uptick in February housing starts to be the beginning of a new trend. The minutes served as a reminder to investors that economic conditions remain weak and that downside risks predominate the near term, stirring midday selling pressure.

Separately, The Federal Reserve announced that its second TALF auction received $1.7 billion in requests, which is down markedly from the $4.7 billion that was requested in March.

Earnings are back in focus. Dow component Alcoa (AA 8.06, +0.27) unofficially kicked off earnings season Tuesday evening with a deeper-than-expected loss. Mosaic (MOS 45.61, +2.67) also reported, and missed expectations as well.

However, Bed Bath & Beyond (BBBY 31.70, +6.19) reported better-than-expected earnings, and Juniper Networks (JNPR 17.51, +1.89) preannounced quarterly results that were in-line with the company's prior forecast. Bed Bath & Beyond's report helped retail stocks bounce 4.5% higher, but strength in both companies helped the Nasdaq outperform the other headline indices.

Sellers put together a coordinated effort on a couple of occasions, twice sending stocks back to the unchanged mark. However, on both occasions stocks found support and eventually finished the session with broad-based gains.

In regulatory news, the Securities and Exchange Commission is looking to vote on short sale restrictions. The restrictions focus on using a short sale price tests and circuit breakers. DJ30 +47.55 NASDAQ +29.05 NQ100 +2.0% R2K +2.4% SP400 +1.5% SP500 +9.61 NASDAQ Adv/Vol/Dec 1937/1.85 bln/733 NYSE Adv/Vol/Dec 2259/1.32 bln/775