US stocks have rebounded with the Dow posting its biggest percentage gain in over four months, as positive earnings and waning trade jitters buoyed investor confidence.
Friday, 17th August, 2018
A broad rally pulled all three major US indexes higher following Wednesday's sell-off. Walmart shares jumped 9.3 percent after the world's largest retailer topped earnings estimates and posted its best same-store sales growth in a decade. Easing trade tensions gave relief to tariff-vulnerable industrials, which led the Dow Jones Industrial Average's advance. Boeing and Caterpillar ended the session up 4.3 percent and 3.2 percent, respectively. 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 Dow Jones Industrial Average rose 396.32 points, or 1.58 percent, to 25,558.73, the S&P 500 gained 22.32 points, or 0.79 percent, to 2,840.69 and the Nasdaq Composite added 32.41 points, or 0.42 percent, to 7,806.52.
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 stock rose 3.0 percent after beating Wall Street revenue and profit targets. Cyber security firm Symantec ended a five-day slide, advancing 4.6 percent after hedge fund Starboard Value LP bought a 5.8 percent stake in the company. Among losers, shares of JC Penney Co posted an all-time closing low, plunging 27.0 percent after it posted disappointing results and forecast a worse-than-expected full-year loss.
Ahead of the local open SPI futures are 2 points lower at 6,280.
|Foreign Equities||Close||Change||% Change|
|Dow Jones (US)||
|FTSE 100 Index||7556||59||0.79|
|Nikkei 225 (Japan)||22192||-12||-0.05|
|Oil - West Texas Crude||/t 3mth||65.5||0.4||0.69|
|Currency||Close||Pts Change||% Change|
|$A vs $US||0.7261||0.0029||0.39|
|$A vs GBP||0.5709||0.0013||0.22|
|$A vs EUR||0.6382||0.0006||0.10|
|$A vs YEN||80.54||0.58||0.72|
|$A vs NZD||1.1019||-0.0010||-0.09|