Communication services stocks elevate Wall Street
By Noel Randewich (Reuters) - Wall Street climbed on Thursday, helped by gains in Apple, Alphabet and Facebook, as well as the U.S. Federal Reserve's confidence in the strength of the economy after it raised rates for the third time this year. Eight out of 11 sectors rose, with the S&P 500 communication services index , recently renamed and reconstituted with Facebook , Google-parent Alphabet and other internet and media stocks, jumping 0.80 percent
By Noel Randewich
(Reuters) - Wall Street climbed on Thursday, helped by gains in Apple, Alphabet and Facebook, as well as the U.S. Federal Reserve's confidence in the strength of the economy after it raised rates for the third time this year.
Eight out of 11 sectors rose, with the S&P 500 communication services index <.SPLRCL>, recently renamed and reconstituted with Facebook
Alphabet rose 1.20 percent and Facebook climbed 1.13 percent, both helping lift the S&P 500.
While raising interest rates on Wednesday, the Fed left its monetary policy outlook for the coming years largely unchanged. Stocks closed lower after the rate hike, but on Thursday some investors refocused on the central bank's confidence in the economy's growth.
"The Fed's statement is essentially a green light for the economy. It's a confirmation that the U.S. economy is the best game in town for global investors," said Jeffrey Kravetz, regional investment director at the Private Client Reserve of U.S. Bank.
Adding to feel-good sentiment was data showing economic growth accelerated in the second quarter at its fastest pace in nearly four years as previously estimated.
Starting on Monday, the telecommunications sector was renamed "communication services" and reconstituted with major internet and media companies alongside AT&T
The Dow Jones Industrial Average <.DJI> rose 0.21 percent to end at 26,439.93 points, while the S&P 500 <.SPX> gained 0.28 percent to 2,914.
The Nasdaq Composite <.IXIC> added 0.65 percent to 8,041.97.
The S&P 500 materials index <.SPLRCM> dipped 0.97 percent, while the utilities index <.SPLRCU> added 0.96 percent, more than any other.
Cruise operator Carnival Corp
That weighed on rivals, with Kellogg
Advancing issues outnumbered declining ones on the NYSE by a 1.22-to-1 ratio; on Nasdaq, a 1.01-to-1 ratio favoured advancers.
The S&P 500 posted 17 new 52-week highs and 11 new lows; the Nasdaq Composite recorded 55 new highs and 63 new lows.
Volume on U.S. exchanges was 6.2 billion shares, compared to a 6.8 billion average over the last 20 trading days.
(Reporting by Noel Randewich in San Francisco, additional reporting by Amy Caren Daniel in Bengaluru; Editing by Nick Zieminski and Bill Berkrot)
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By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States
BEIJING Chinese President Xi Jinping on Wednesday called for greater efforts to make the country's navy a world class one, strong in operations on, below and above the surface, as it steps up its ability to project power far from its shores.China's navy has taken an increasingly prominent role in recent months, with a rising star admiral taking command, its first aircraft carrier sailing around self-ruled Taiwan and a new aircraft carrier launched last month.With President Donald Trump promising a US shipbuilding spree and unnerving Beijing with his unpredictable approach on hot button issues including Taiwan and the South and East China Seas, China is pushing to narrow the gap with the U.S. Navy.Inspecting navy headquarters, Xi said the navy should "aim for the top ranks in the world", the Defence Ministry said in a statement about his visit."Building a strong and modern navy is an important mark of a top ranking global military," the ministry paraphrased Xi as saying.