By Stephen Culp
NEW YORK (Reuters) - U.S. stocks rebounded on Thursday with the Dow posting its biggest percentage gain in over four months, as positive earnings and waning trade jitters buoyed investor confidence.
A broad rally pulled all three major U.S. indexes higher following Wednesday's sell-off.
Easing trade tensions gave relief to tariff-vulnerable industrials, which led the Dow Jones Industrial Average's advance. Boeing
The S&P 500 industrial sector <.SPLRCI> gained 1.2 percent.
Escalating tariff rhetoric cooled down on news that Beijing will send a delegation to Washington to help resolve the growing trade conflict between the world's two largest economies.
"The market's getting a boost with some prominent companies coming in with some decent earnings, such as Walmart," said Chuck Carlson, chief executive officer at Horizon Investment Services in Hammond, Indiana. "But I think this also shows the schizophrenic nature of the market when short-term market action is pegged so closely to trade wars and tariff talks, especially with China."
The Dow Jones Industrial Average <.DJI> rose 396.32 points, or 1.58 percent, to 25,558.73, the S&P 500 <.SPX> gained 22.32 points, or 0.79 percent, to 2,840.69 and the Nasdaq Composite <.IXIC> added 32.41 points, or 0.42 percent, to 7,806.52.
All 11 major sectors of the S&P 500 ended the session higher, with telecom <.SPLRCL> and consumer staples <.SPLRCS> posting the largest percentage gains.
Second-quarter reporting season is winding down. With 463 of S&P 500 companies having posted earnings, 79.3 percent have exceeded analyst estimates, according to Thomson Reuters I/B/E/S.
Cisco Systems Inc
Cyber security firm Symantec Corp
Among losers, shares of J.C. Penney Co Inc
Advancing issues outnumbered declining ones on the NYSE by a 2.97-to-1 ratio; on Nasdaq, a 2.40-to-1 ratio favoured advancers.
The S&P 500 posted 33 new 52-week highs and four new lows; the Nasdaq Composite recorded 91 new highs and 69 new lows.
Volume on U.S. exchanges was 6.39 billion shares, compared with the 6.53 billion-share average for the full session over the last 20 trading days.
(Reporting by Stephen Culp; editing by Jonathan Oatis)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Updated Date: Aug 17, 2018 03:05 AM