Trade deal hopes, earnings propel Wall Street to another record high

By Arjun Panchadar (Reuters) - Wall Street's main indexes hit fresh record highs on Friday, as optimism related to U.S.-China trade talks and solid earnings from semiconductor industry bellwether Applied Materials boosted risk appetite.

Reuters November 16, 2019 00:07:34 IST
Trade deal hopes, earnings propel Wall Street to another record high

Trade deal hopes earnings propel Wall Street to another record high

By Arjun Panchadar

(Reuters) - Wall Street's main indexes hit fresh record highs on Friday, as optimism related to U.S.-China trade talks and solid earnings from semiconductor industry bellwether Applied Materials boosted risk appetite.

Shares in Applied Materials Inc jumped 9.3% and pushed the Philadelphia Semiconductor index <.SOX> to an all-time high after the chip gear maker forecast first-quarter results above estimates.

Nine of the 11 major S&P 500 sectors were higher. Healthcare shares <.SPXHC> gained 1.3% and provided the biggest boost followed by the trade-sensitive technology sector <.SPLRCT>, which rose 0.65%.

White House economic adviser Larry Kudlow said late on Thursday that the world's two largest economies were getting close to a trade agreement, citing what he called very constructive talks with Beijing.

Adding to the upbeat mood, Commerce Secretary Wilbur Ross said there would be a call between U.S. and Chinese officials later on Friday.

"We are definitely headed in the right direction with regard to trade," said Keith Buchanan, portfolio manager at GlobAlt in Atlanta.

"Although there was some skittishness ... the equity market hasn't shown much of a pull back and we are still making those highs."

Wall Street's main indexes have been powered recently by hopes of a trade deal, largely better-than-expected third-quarter earnings and a third interest rate cut by the Federal Reserve.

The benchmark S&P 500 index was on course to post its sixth weekly percentage rise.

Data showed U.S. retail sales rebounded in October, but consumers cut back on purchases of big-ticket household items and clothing, which could temper expectations for a strong holiday shopping season.

The report comes a day after the benchmark S&P hit an all-time closing high after retail giant Walmart Inc's robust earnings.

At 12:33 p.m. ET the Dow Jones Industrial Average <.DJI> was up 149.99 points, or 0.54%, at 27,931.95, the S&P 500 <.SPX> was up 17.36 points, or 0.56%, at 3,113.99 and the Nasdaq Composite <.IXIC> was up 49.83 points, or 0.59%, at 8,528.84.

Qualcomm Inc gained 1.1% after Mizuho upgraded its rating on the stock to "buy" from "neutral", while JP Morgan raised its price target.

But Nvidia Corp fell 2.3% as the company said it expects its gaming chip business to be impacted by seasonal weakness in the fourth quarter.

Advancing issues outnumbered decliners by a 2.00-to-1 ratio on the NYSE and a 1.69-to-1 ratio on the Nasdaq.

The S&P index recorded 46 new 52-week highs and one new low, while the Nasdaq recorded 96 new highs and 84 new lows.

(Reporting by Arjun Panchadar and Agamoni Ghosh in Bengaluru; Editing by Shounak Dasgupta and Anil D'Silva)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

Aurora Cannabis plans more layoffs, facility closures amid industry turmoil
Business

Aurora Cannabis plans more layoffs, facility closures amid industry turmoil

By Arunima Kumar (Reuters) - Aurora Cannabis on Tuesday announced a new round of staff reductions and plans to shut five facilities over the next two quarters, as the COVID-19 pandemic pummels the cash-crunched cannabis industry. For most marijuana companies in Canada, which legalized recreational cannabis in October 2018, profits have proven elusive due to fewer-than-expected retail stores, cheaper rates on the black market and slow overseas growth. The industry has been further hit by the COVID-19 crisis, which has also upended financial markets, making it harder to get investor dollars

India levies charge on some steel imports from China, Korea, Vietnam
Business

India levies charge on some steel imports from China, Korea, Vietnam

NEW DELHI (Reuters) - India has imposed an anti-dumping duty on flat rolled steel products that are plated or coated with alloy of aluminium and zinc originating in, or from China, Vietnam and South Korea, according to a government order https://www.cbic.gov.in/resources//htdocs-cbec/customs/cs-act/notifications/notfns-2020/cs-add2020/csadd16-2020.pdf issued on Tuesday. The duty will be in the range of $13.07-$173.10 per tonne for 5 years, according to the statement

Gold vaults to highest since October 2012 as dollar stumbles
Business

Gold vaults to highest since October 2012 as dollar stumbles

By Diptendu Lahiri (Reuters) - Gold prices surged to their highest since October 2012 on Tuesday, driven by a weakness in the U.S. dollar and widespread monetary stimulus packages by central banks as a jump in coronavirus cases dents the economic outlook