Dow heads for 7th day of gains as US delays China tariffs

(CNN) – The Dow could hit a seventh day of gains in a row Thursday, as stocks are higher after the United States said it would delay some tariffs on Chinese imports.

The Dow, which had briefly turned negative in the first minutes of trading, is up 135 points, or 0.5%. The S&P 500 is 0.5% higher and the Nasdaq Composite trades 0.8% higher.

If the Dow ends today in the green, it will have risen for seven days in a row, its longest winning streak since early May, according to Refinitiv.

Stocks jumped following a Bloomberg report saying that Washington is considering an interim trade deal with China that would delay and roll back some import tariffs.

Earlier, other apparently conciliatory developments had helped investor sentiment.

Late Wednesday, President Donald Trump tweeted that “as a gesture of good will” the United States would delay a tariff increase on $250 billion of goods from China that would have taken levies from 25% to 30% from October 1 to October 15.

Earlier Wednesday, China waived import tariffs on some US goods.

In Europe, the European Central Bank cut its deposit rate to -0.5% from -0.4%, and restarted its quantitative easing program with monthly €20 billion purchases starting November 1.

“Overall, markets are disappointed with the ECB’s action, but that could be changed if the ECB commits to buying corporate bonds,” said Edward Moya, senior market analyst at Oanda.

Market participants will now turn their attention to next week’s Federal Reserve meeting, at which a quarter percentage point interest rate cut is expected with an 89% chance, according to the CME’s FedWatch tool.

Trump, who has long been critical of the Fed’s policy, tweeted that the ECB had acted quickly and was trying and succeeding to depreciate the euro, while the Fed

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