Left Menu
Development News Edition

US STOCKS-Wall St rallies on trade deal hopes, focus shifts to Trump-Liu meeting

Reuters | Washington DC | Updated: 11-10-2019 22:27 IST | Created: 11-10-2019 22:26 IST
US STOCKS-Wall St rallies on trade deal hopes, focus shifts to Trump-Liu meeting
Image Credit: PxHere

Wall Street rose for the third straight session on Friday, with hopes running high that the talks between President Donald Trump and Chinese Vice Premier Liu He would culminate in a partial trade deal and delay planned U.S. tariff increases. Shares of Apple Inc hit a record high and were the biggest boost to the S&P 500 and Nasdaq, while the technology sector was set for its best day in five weeks.

All eyes are now on Trump meeting Liu in the White House at 2:45 p.m. EDT (1845 GMT). The top-level discussions concluded their second day on Friday. "The President seems to indicate that there is a possibility of an interim trade deal," said Rick Meckler, a partner at Cherry Lane Investments in New Vernon, New Jersey.

"The thought is that there will be some conciliatory moves from both sides, as news earlier in the week had investors worried that these talks might be moving in the wrong direction." The S&P 500 and Dow Jones indexes looked set to break a three-week losing streak on optimism that the world's top two economies could cool off their row before more U.S. tariffs kick in next week.

Investors also moved into cyclical sectors such as financials, ahead of the third-quarter earnings season set to begin with banks reporting next week. The S&P 500 bank index jumped 2.5%, on track for its best day in a month, on expectations that strength in mortgage banking and cheap valuations could provide support to some of the biggest U.S. lenders.

However, analysts see S&P 500 earnings dropping 3.2% year-on-year, marking the first decline since 2016, according to IBES data from Refinitiv. Bets for another interest rate cut by the Federal Reserve fell amid data showing a rise in consumer sentiment for the month of October.

Chipmakers with a sizeable exposure to China rose in early trading, with the Philadelphia Semiconductor index gaining 2.5%. Apple rose 2% as Wedbush raised its price target, citing confidence in the company's new video streaming service.

At 12:30 p.m. ET the Dow Jones Industrial Average was up 389.01 points, or 1.47%, at 26,885.68, the S&P 500 was up 43.03 points, or 1.46%, at 2,981.16 and the Nasdaq Composite was up 133.54 points, or 1.68%, at 8,084.33. The industrial sector gained 2.2%, boosted by a 17.2% surge in shares of Fastenal Co after the industrial distributor beat quarterly profit expectations.

Defensive utilities was the only sector trading in the red, while consumer staples and real estate stocks posted the smallest gains, suggesting an uptick in risk appetite. Advancing issues outnumbered decliners for a 3.90-to-1 ratio on the NYSE and a 4.64-to-1 ratio on the Nasdaq.

The S&P index recorded 26 new 52-week highs and no new low, while the Nasdaq recorded 42 new highs and 38 new lows.

Also Read: Trump to meet with Chinese Vice Premier Liu He at 2:45 p.m. EDT/1845 GMT Friday



Post-COVID-19 Nigeria needs a robust Health Management Information System to handle high disease burden

Nigeria is among a few countries that conceptualised a health management information system HMIS in the early 90s but implementation has been a challenge till date. Besides COVID-19, the country has a huge burden of communicable and non-com...

Morocco COVID-19 response: A fragile health system and the deteriorating situation

Learning from its European neighbors, Morocco imposed drastic measures from the initial stages of the COVID-19 outbreak to try to contain its spread. The strategy worked for a few months but the cases have surged after mid-June. In this sit...

COVID-19: Argentina’s health system inefficiencies exaggerate flaws of health information system

You can recover from a drop in the GDP, but you cant recover from death, was the straightforward mindset of Argentinas President Alberto Fernndez and defined the countrys response to COVID-19. The South American nation imposed a strict...

Rwanda’s COVID-19 response commendable but health information system needs improvement

Rwanda is consistently working to improve its health information system from many years. However, it is primarily dependent on the collection and reporting of health data on a monthly basis. Besides, evaluation studies on Rwandas HIS publis...


Latest News

Soccer-Bayern's Neuer sympathises with fans not travelling to Supercup

Bayern Munich captain Manuel Neuer said he understands why so few of his clubs fans have made the trip to Budapest for Thursdays UEFA Super Cup final against Sevilla as coronavirus cases continue to rise across the continent. Bayern won the...

Disney delays 'Black Widow' in new setback for cinemas

Walt Disney Co on Wednesday postponed the release of superhero movie Black Widow and Steven Spielbergs West Side Story until 2021, a setback to cinema operators hoping for a late-year surge in moviegoing.The films were among the biggest tit...

Adityanath praised by PM for measures to tackle COVID in UP

Chief Minister Yogi Adityanath came in for praise from Prime Minister Narendra Modi on Wednesday for the measures taken by the Uttar Pradesh government to tackle COVID-19 and handling the migrants crisis, according to a statement. During hi...

Power tariff to be hiked by 20 paise per unit in Odisha

The Orissa Electricity Regulatory Commission OERC has approved a proposal to hike power tariff by 20 paise per unit of electricity consumed in the state from October 1. However, the enhanced tariff will not be applicable for farmers using e...

Give Feedback