Tech Stocks, Netflix Power Wall Street's Gains


Hopes about a strong reporting season have helped divert attention from geopolitical and trade worries, which have roiled the markets in recent months.

“We’ve seen enough pessimism build up in investors as people are trying to look for the worst … things blowing up from a geopolitical perspective. Earnings so far have been good enough to help leave some of the pessimism that’s out there,” Delwiche said.

At 12:36 a.m. ET the Dow Jones Industrial Average was up 0.88 percent at 24,789.21. The S&P 500 rose 1 percent to 2,704.74 and the Nasdaq Composite gained 1.67 percent to 7,275.82.

Housing Construction

New private housing starts and permits authorized during the month, at a seasonally adjusted annual pace.











At their session highs, all three indexes were above their 50-day moving averages.

Data on Tuesday showed U.S. homebuilding increased more than expected in March amid a rebound in the construction of multi-family housing units. The PHLX housing index rose 1.12 percent.

Ten of 11 major S&P sectors were higher, led by the technology index’s 1.9 percent gain. The consumer discretionary index rose 1.64 percent, boosted by Netflix and Amazon, which gained 3.2 percent.

BofA Merrill Lynch’s April fund manager survey found the world’s biggest tech stocks were investors’ top pick for the third straight month despite mounting worries over regulation.

Facebook, Apple, Amazon, Netflix and Alphabet — collectively known as the FAANG group — rose between 1.4 percent and 9.7 percent.

Goldman Sachs reversed course to drop 1.7 percent, mirroring other big U.S. banks, shares of which declined despite beating Wall Street’s profit expectations.

J&J fell 1.43 percent after the healthcare conglomerate raised its sales forecast for the year but kept its outlook for full-year profit unchanged.

Advancing issues outnumbered decliners on the NYSE for a 2.74-to-1 ratio, and on the Nasdaq, for a 2.52-to-1 ratio.

(Reporting by Sruthi Shankar in Bengaluru; Editing by Shounak Dasgupta)

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Wall Street Higher as Syria Fears Ease, Earnings in Focus


At 2:26 p.m. ET, the Dow Jones Industrial Average rose 227.2 points, or 0.93 percent, to 24,587.34, the S&P 500 gained 22.91 points, or 0.86 percent, to 2,679.21 and the Nasdaq Composite added 51.62 points, or 0.73 percent, to 7,158.27.

3-Month Treasury Bills

High rate at weekly auction.











The S&P 500’s technology sector was the biggest boost to the benchmark with a 0.8-percent increase followed by the healthcare index which was up 0.97 percent.

UnitedHealth provided the second-biggest boost to the S&P from a single stock a day ahead of its earnings report with a 2.9 percent gain, just behind Microsoft Corp, which was up 1.2 percent.

Merck rose 2.2 percent after the company presented positive data on its cancer drug Keytruda, also boosting the S&P healthcare index.

Shares of optical components makers, including those of Acacia Communications and Oclaro, took a beating after Reuters reported that the U.S. government was banning American companies from selling components to Chinese telecom equipment maker ZTE Corp <0000063.SZ>. Acacia fell 34.4 percent, compared with a 13-percent drop for Oclaro.

JB Hunt Transport Services jumped 6.6 percent after the trucking company’s profit topped estimates.

Bank of America was up 1 percent after a better-than-expected increase in quarterly profit.

Netflix fell 2 percent. The company was due to reports results after the closing bell on Monday.

Advancing issues outnumbered declining ones on the NYSE by a 2.75-to-1 ratio; on Nasdaq, a 2.04-to-1 ratio favored advancers.

The S&P 500 posted 11 new 52-week highs and no new lows; the Nasdaq Composite recorded 66 new highs and 27 new lows.

(Additional reporting by Sruthi Shankar in Bengaluru; Editing by Anil D’Silva and Nick Zieminski)

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Facebook's Rebound Helps Wall Street Cut Losses


“It looks like investors are thinking he’s doing a good job in front of a hard-to-please crowd,” said Kim Forrest, senior portfolio manager at Fort Pitt Capital Group in Pittsburgh.

“He’s trying to make sure that his view of the company which is, that they are good stewards of data, gets heard and it’s unclear if they are going to go unscathed with no regulation.”

Facebook’s gains helped the technology sector cut losses to a marginal 0.09 percent and briefly pushed the Nasdaq and the S&P 500 into positive territory.

At 12:53 p.m. ET, the S&P 500 fell 6.32 points, or 0.24 percent, at 2,650.55 and the Nasdaq Composite was down 0.31 points, flat percent-wise, at 7,094.

10-Year Treasury Notes

High yield in monthly refunding auction.









The Dow Jones Industrial Average was down 139.87 points, or 0.57 percent, at 24,268.13. The index was weighed down by financials and industrial stocks, which are still reeling from the impact of the uncertainty on tariffs between the United States and China.

In a sign of the market cutting losses, advancing issues outnumbered decliners by a 1.33-to-1 ratio on the NYSE and a 1.14-to-1 ratio and on the Nasdaq, reversing course from earlier in the session when decliners slightly outnumbered advancers.

Volatility stayed low for most of the session. The CBOE volatility index was down 0.52 points at 19.95.

The Labor Department said U.S. consumer prices fell for the first time in 10 months in March, weighed down by lower gasoline costs, but underlying inflation continued to firm amid rising prices for healthcare and rental accommodation.

The CPI data, while not the Federal Reserve’s preferred measure of inflation, comes ahead of the release of the minutes of the central bank’s March meeting, in which it raised interest rates. Investors expect the minutes to reveal the Fed’s thinking on the future path of rate hikes.

Among stocks, Netflix gained 3.3 percent after Goldman Sachs became the latest brokerage to predict the streaming company would top expectations when it reports results on Monday.

Industrial distributor Fastenal fell 7.2 percent after its earnings missed expectations. The stock was the biggest decliner on the S&P, followed by peer WW Grainger’s 4.2 percent drop.

(Reporting by Sruthi Shankar in Bengaluru; Editing by Arun Koyyur)

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Wall Street Rises as Chinese President Eases Trade Worries


Facebook shares added the most gains to the S&P 500, rising 4.5 percent after Chief Executive Mark Zuckerberg began his testimony before Congress and took questions from lawmakers. It was the biggest one-day percentage gain for the stock in nearly two years.

The S. & P. 500 Index

Position of the S. & P. 500 index at 1-minute intervals on Tuesday.









Zuckerberg’s testimony aimed to strike a conciliatory tone in an attempt to blunt possible regulatory fallout from the privacy scandal engulfing his social network.

The energy index had the highest percentage gain among the S&P’s 11 major sectors, adding 3.3 percent as oil broke above $70 a barrel.

The Dow Jones Industrial Average rose 428.9 points, or 1.79 percent, to 24,408, the S&P 500 gained 43.71 points, or 1.67 percent, to 2,656.87 and the Nasdaq Composite added 143.96 points, or 2.07 percent, to 7,094.30.

Only utilities and real estate, which are sensitive to interest rates, posted losses after U.S. producer prices rose more than expected in March, indicating that inflation is strengthening, which could push interest rates up further.

However, the increase in producer prices did not prompt broader concerns about future market performance.

“It’s not enough to offset better expectations about the overall economy,” said Kate Warne, investment strategist at Edward Jones in St. Louis.

U.S. stocks will face a major test in coming weeks as first-quarter earnings pour in. JPMorgan Chase, Citigroup and Wells Fargo will kick off the earnings season on Friday.

3-Month Treasury Bills

High rate at weekly auction.









Analysts expect quarterly profits for S&P 500 companies to rise 18.5 percent from a year ago, which would be the biggest gain in seven years, according to Thomson Reuters I/B/E/S.

Sprint Corp shares jumped 17.1 percent after reports that the company had restarted merger talks with T-Mobile US Inc. T-Mobile shares rose 5.7 percent.

Advancing issues outnumbered declining ones on the NYSE by a 3.16-to-1 ratio; on Nasdaq, a 3.93-to-1 ratio favored advancers.

The S&P 500 posted six new 52-week highs and one new low; the Nasdaq Composite recorded 53 new highs and 32 new lows.

Volume so far on U.S. exchanges was 7.14 billion shares, compared with the 7.33 billion-share average for the full session over the last 20 trading days.

(Additional reporting by Sweta Singh and Diptendu Lahiri in Bengaluru; Editing by Chizu Nomiyama and Jonathan Oatis)

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Wall Street Rises but Pares Gains Late After Report of FBI Raid


“Even if it ultimately ends up being nothing, the initial reaction is almost always negative in the market,” said Randy Frederick, vice president of trading and derivatives for Charles Schwab in Austin, Texas.

Investors are looking forward to the start of earnings season to provide a sustained lift to U.S. stocks, with big banks, such as JPMorgan Chase, Citigroup and Wells Fargo, set to report first-quarter results on Friday.

Analysts expect quarterly profits for S&P 500 companies to rise 18.5 percent from a year ago, which would be the biggest gain in seven years, according to Thomson Reuters I/B/E/S.

The Dow Jones Industrial Average rose 46.34 points, or 0.19 percent, to 23,979.10, the S&P 500 gained 8.69 points, or 0.33 percent, to 2,613.16 and the Nasdaq Composite added 35.23 points, or 0.51 percent, to 6,950.34. AveXis Inc rose 81.6 percent after Swiss drugmaker Novartis offered to buy the gene therapy company for $8.7 billion.

3-Month Treasury Bills

High rate at weekly auction.









Merck shares rose 5.2 percent after the drugmaker’s blockbuster cancer drug, Keytruda, met the main study goal of helping previously untreated lung cancer patients live longer.

Shares of Leucadia National Corp jumped 11.6 percent after the company said it would sell most of its non-financial assets to focus on investment banking and advisory services.

Declining issues outnumbered advancing ones on the NYSE by a 1.10-to-1 ratio; on Nasdaq, a 1.13-to-1 ratio favored advancers.

Volume on U.S. exchanges was 6.28 billion shares, compared to the 7.3 billion average for the full session over the last 20 trading days.

(Additional reporting by Chuck Mikolajczak in New York and Sweta Singh and Diptendu Lahiri in Bengaluru; editing by Nick Zieminski and G Crosse)

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Dow, S&P Climb for Third Day in a Row on Easing Trade Worries


Earnings forecasts have increased sharply since Congress approved sweeping changes to the U.S. tax law late last year, with first-quarter earnings growth expected to be the highest in seven years.

Balance of Trade

The deficit is the excess of imports over exports for goods and services. Amounts are rounded, in billions of dollars, seasonally adjusted.









The Dow Jones Industrial Average rose 240.92 points, or 0.99 percent, to 24,505.22, the S&P 500 gained 18.15 points, or 0.69 percent, to 2,662.84 and the Nasdaq Composite added 34.45 points, or 0.49 percent, to 7,076.55.

Advancing issues outnumbered declining ones on the New York Stock Exchange by a ratio of 2.76 to 1, while it was the first day of more new 52-week highs on NYSE than 52-week lows since March 13.

On Wednesday, the Dow dropped more than 500 points after China and the United States imposed tariffs on each other’s products, but closed up 230 points after President Donald Trump’s top economic adviser Larry Kudlow said the administration was involved in a “negotiation” with China rather than a trade war.

Facebook, Amazon, Alphabet and Netflix – collectively known as the “FANG” group – were up between 0.3 percent and about 3 percent.

Facebook Chief Executive Mark Zuckerberg said the company had not seen “any meaningful impact” on usage or ad sales since the data privacy scandal.

Amazon rose 2.9 percent after being repeatedly hammered this week by Trump’s attacks on the online retailer.

About 6.4 billion shares changed hands on U.S. exchanges. That compares with the 7.3 billion daily average for the past 20 trading days, according to Thomson Reuters data.

(Additional reporting by Sruthi Shankar in Bengaluru; Editing by Sriraj Kalluvila and James Dalgleish)

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Nasdaq Trims Losses as Facebook, Microsoft Gain


At 12:41 p.m. ET (1641 GMT) the Dow Jones Industrial Average was up 134.09 points, or 0.56 percent, helped by gains in financial shares.

The S&P 500 was up 9.84 points, or 0.37 percent and the Nasdaq Composite was down 4.18 points, or 0.06 percent, at 7,004.63.

Real Economic Growth

Annual rate of change in the gross domestic product, based on quarterly figures adjusted for inflation and seasonal fluctuations.






4th quarter revised

Change at annual rate






The main indexes are on track for their second straight month of losses, hurt by fears of a trade war between the United States and China as well as rising U.S. interest rates.

Comments from top officials of the two countries had given a sense that they would negotiate over President Donald Trump’s move to impose tariffs on Chinese goods.

However, China’s state-run Global Times reported on Wednesday that the country was expected to soon announce a list of retaliatory tariffs on U.S. exports.

Tesla dropped about 6 percent after the U.S. government said it would investigate a fatal crash and vehicle fire of a Model X in California.

Lululemon Athletica surged 11 percent after the Canadian athletic apparel maker posted a surprisingly strong fourth-quarter profit and forecast further growth in the first quarter.

Advancing issues outnumbered decliners on the NYSE by 1,647 to 1,178. On the Nasdaq, 1,421 issues fell and 1,413 advanced.

(Reporting by Sruthi Shankar and additional reporting by Yashaswini Swamynathan in Bengaluru; Editing by Anil D’Silva)

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