By Sruti Shankar and Barn Barn Warwick
(Reuters) – US stock indexes were set to be their best day after two weeks on Wednesday after President Donald Trump said that a trade deal with China could happen earlier than expected, with shares of Nike hitting a record high quarterly results.
Wall Street began slowly as Democratic lawmakers moved to launch an investigation into Trump's impeachment, adding new uncertainty to markets that are already swamped by trade unrest between the US and China and worried about slowing global economic growth.
Trump's comments contrasted his cruel rhetoric on Tuesday over a trade dispute that shook Wednesday's global stock markets.
"The good news is that (Trump) thinks the talks are moving forward, but ultimately what investors want to see is an agreement," said Michael Gerrity, a equity strategist at Cornerstone Capital Group.
"We are continuing discussions with China, but as we have seen in the past, apparent progress was later canceled out due to a firm stance on either side or one of the parties."
Nike Inc. (N 🙂 shares jumped with 3.7% to a record high and were among the biggest drivers for the Dow Jones Industrial Average () and the S&P 500 () after the company's first quarter results beat market expectations.
Shoe Dealer Foot Locker Inc. (N 🙂 gained 2.3%.
Boeing Co (N 🙂 rose 1
Shares in Philip Morris (N 🙂 rose 6.1% after the tobacco company canceled the merger talks with Altria Group Inc. (N 🙂 and said it would focus instead on the US release of tobacco products. heating product, iQOS.
The Philadelphia sensitive trading index () gained 0.70%, while the broader technology sector () grew 0.45%.
Eight of the 11 major science and technology sectors were in the black, with defense utilities (), real estate <.splrcr> and healthcare () hind legs.
"I don't think the impeachment problem weighs on the markets or will weigh on the markets (in the near future) … However, if it eventually ends in a blockade in Washington, it could certainly affect investors and we can see that this is reflected in stock prices, "added Geraghty of Cornerstone Capital.
At 13:09 ET, the Dow Jones Industrial Average () rose 149.81 points, or 0.56%, at 26 957.58, and the S&P 500 () was up 9.26 points or 0.31% at 2,975.86, while the Nasdaq Composite () was up 34.94 points, or 0.44%, at 8,028.57.
Marathon Petroleum Corp (N 🙂 grew 7.7% and was among the leading profits of the S&P 500, after as activist investor Elliott Management renewed its request to divide the company into three.
Chipmaker Broadcom Inc (O 🙂 dropped 3.3% and was the biggest loser of the S&P 500 after the price offer of convertible preferred shares.
Data show that sales of new single-family homes in the US have recovered more than expected in August, a sign that the troubled housing market is beginning to rise from lower interest rates.
Emission increases outperform decliners by a factor of 1.17 to 1 for the NYSE and a factor of 1.35 to 1 for the Nasdaq index.
The S&P Index recorded 5 new 52-week highs and no new lows, while the Nasdaq recorded 17 new highs and 90 new lows.