US stocks rally amid strong earnings, trade hopes

Last Updated: Tue, Oct 29, 2019 12:31 hrs
NYSE

New York: US equities finished higher on Monday, boosted by strong corporate earnings and positive signs concerning global trade.

The Dow Jones Industrial Average increased 132.66 points, or 0.49 per cent, to 27,090.72. The S&P 500 rose 16.87 points, or 0.56 per cent, to 3,039.42. The Nasdaq Composite Index advanced 82.87 points, or 1.01 per cent, to 8,325.99, Xinhua reported.

Seven of the 11 primary S&P 500 sectors gained, with technology and communication services up 1.26 per cent and 1.17 per cent, respectively, outpacing the rest. Both utilities and real estate slid more than 1 per cent, leading the laggards.

Wall Street was encouraged by a wave of better-than-expected earnings report released recently. Of the S&P 500 companies that reported so far, about 78 per cent have topped analyst expectations, according to data from FactSet.

The US Federal Reserve is scheduled to hold a key policy meeting later this week. Market expectations for further rate cuts are high amid a slowing economy.

The minutes of the Fed's September monetary policy meeting showed that there was a growing concern about trade tensions among Fed officials. The central bank also highlighted the impact of trade tensions on the outlook for the US economy.