The Nasdaq rose on Thursday and is poised to log its longest winning streak since October. The broader stock market is struggling to remain in positive territory as investors weigh the continuing trade dispute between the U.S. and China against the backdrop of strong corporate earnings and a healthy economic performance.
How are benchmarks performing?
The Dow Jones Industrial Average DJIA, -0.06% gave up 10 points to 25,573, while the S&P 500 SPX, +0.04% was up 2 points to 2,860, or less than 0.1%. Seven of the S&P 500’s 11 sectors were higher, led by telecommunications and materials. The Nasdaq Composite Index COMP, +0.32% advanced by 31 points, or 0.5%, to 7,919.
For the week, the Dow is set to gain 0.5%, the S&P 500 is on pace to advance by 0.7% and the Nasdaq is on track for a weekly return of 1.4%.
What’s driving the market?
U.S. earnings on the whole are solid with the number of companies beating estimates at the highest since third quarter 2009, according to JPMorgan Chase.
Upbeat results have helped to keep the stock market relatively resilient despite trade tensions between Washington and Beijing. On Wednesday, China warned that duties imposed by President Donald Trump’s administration on some $50 billion of Chinese imports set to be enacted on Aug. 23, would be matched and China’s Ministry of Commerce said that the country “has to retaliate as necessary.”
However, after getting knocked lower on Wednesday, China markets have bounced back, suggesting to global investors, at least momentarily, that the market of the world’s second-largest economy isn’t unraveling on trade clashes as it also battles a domestic slowdown.
What data are in focus?
In the latest economic data, initial jobless claims fell more than expected in