U.S. stocks surged midday Thursday, approaching session highs, as gains in internet and technology shares helped Wall Street resume a recent uptrend that had been interrupted in the past 24 hours by a fresh intensification of tariff and political disputes between Washington and the rest of the developed world.
However, upbeat economic reports and signs that the U.S. and China, the two biggest economies in the world, are open to resolving their differences has helped to refresh buying appetite.
What are markets doing?
The Dow Jones Industrial Average DJIA, +0.93% rose 211 points, or 0.9%, to 24,911, supported by gains of at least 1.4% in shares of Boeing Co. BA, +1.49% and Caterpillar Inc. CAT, +1.70% considered the most sensitive to trade-war fears. On Wednesday, Caterpillar shares sank 3.2% while Boeing’s stock fell 1.9%.
Meanwhile, the S&P 500 index SPX, +0.84% gained 21 points, or 0.8%, to 2,794, with the technology sector XLK, +1.41% up 1.7%, representing the best performance among the index’s 11 sectors. As measured by the Technology Select Sector SPDR ETF, tech shares were up 1.4%.
The tech-centric Nasdaq Composite Index COMP, +1.23% rose 87 points, or 1.1%, to 7,803, putting the gauge in record territory. The last time the Nasdaq closed at an all-time high was June 20, according to FactSet data.
The run-up come after a selloff on Wednesday, when U.S. stocks snapped a four-session winning streak as the Trump administration announced plans to impose another round of tariffs on Chinese goods.
Still, all three benchmarks are on pace to rise for five of the past six sessions. For the week, Dow is set to post a weekly gain