Dow jumps over 400 points as report says US, China reach partial trade deal – Fox Business

FOX Business’ Deirdre Bolton discusses the latest on China trade talks and negotiations.

Stocks slid off their best levels of the session on Friday after the U.S. and China agreed to a “phase one deal” in the trade war, but still managed to post strong gains.

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The deal, which has been agreed to in principle and will take three to five weeks to write, includes China agreeing to raise its agricultural purchases to between $40 billion and $50 billion from $8 billion to $16 billion, in addition to making reforms on intellectual property and financial services. The U.S. will not be raising tariffs from 25 percent to 30 percent on Oct. 15. A decision has not yet been made on the tariff increase scheduled for Dec. 15.

A comprehensive trade deal will have two or three phases, according to Trump. China’s trade team is calling the agreement a “pause” in the trade war, and not a deal.

The Dow Jones Industrial Average was up as much as 517 points in the moments following the announcement before finishing higher by 319 points, or 1.2 percent. The S&P 500 and Nasdaq closed up 1.1 percent and 1.3 percent respectively.

Ticker Security Last Change Change % I:DJI DOW JONES AVERAGES 26816.59 +319.92 +1.21% SP500 S&P 500 2970.27 +32.14 +1.09% I:COMP NASDAQ COMPOSITE INDEX 8057.038617 +106.26 +1.34%

The October reading of the University of Michigan Consumer Sentiment released Friday morning hit a three-month high of 96, up from 93.2 the prior month.

In stock news, trade-sensitive names were charging higher.

Ticker Security Last Change Change % CAT CATERPILLAR INC. 128.40 +5.71 +4.65% DE DEERE & COMPANY 170.95 +3.15 +1.88% AMD ADVANCED MICRO DEVICES INC. 29.75 +1.37 +4.83% INTC INTEL CORPORATION 52.09 +0.98 +1.92%

General Motors shares gained after the automaker provided fresh details on negotiations with the

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