NEW YORK (Reuters) – U.S. stocks closed higher on Thursday as industrials rebounded and technology names soared, while commodities recovered and the dollar held steady after concerns over an escalating U.S. trade war with China took a breather.
Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., July 11, 2018. REUTERS/Brendan McDermid
Technology companies – including Facebook, Microsoft and Amazon – hit all-time intraday highs, helping to power the NASDAQ stock exchange to a record high.
Metals also made a comeback, with bargain-hunting investors scrambling to buy, while oil prices steadied.
The Dow Jones Industrial Average rose 224.44 points, or 0.91 percent, to 24,924.89, the S&P 500 gained 24.27 points, or 0.87 percent, to 2,798.29 and the Nasdaq Composite added 107.31 points, or 1.39 percent, to 7,823.92.
“While markets have typically reacted negatively to any escalation on trade, the overall impact has been relatively modest under the circumstances which suggests investors are far from panic mode right now,” Craig Erlam, Oanda senior market analyst, said in a note.
Reporting of quarterly earnings is set to pick up steam on Friday with the big Wall Street banks, and overall S&P 500 companies are expected to post second-quarter profit growth of around 21 percent, according to Thomson Reuters I/B/E/S.
To view a graphic on Trade war hit to equity markets, click: reut.rs/2L8nZtk
The pan-European FTSEurofirst 300 index rose 0.78 percent and MSCI’s gauge of stocks across the globe gained 0.63 percent.
Positive U.S. jobless data on Wednesday provided a market boost, with labor market conditions remaining robust in early July.
In addition, a consumer prices report indicated the underlying trend continued to point to a steady buildup of inflation pressure that could keep the Federal Reserve on a path of gradual interest rate hikes.