'The market loves it': Wall Street soars as US, China announce fresh trade talks

“Whether the talks occur or not, we’ll see. And whether they are productive, we’re sceptical. But the market loves it,” said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York.

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The S&P information technology index rose 2.1 per cent while financials jumped 1.9 per cent, the two rising the most among the 11 major S&P 500 sectors.

The interest rate-sensitive S&P 500 Banks Index surged 2.5 per cent, following a rise in US Treasury yields.

The ADP National Employment Report, considered a precursor to the Labor Department’s more comprehensive jobs report, showed US private employers’ payrolls grew at the fastest pace in four months in August, led by big gains in service-sector jobs.

Another private survey showed growth in US services sectors accelerated in August, rebounding from its weakest level in nearly three years, as new orders rose to their highest level since February amid trade worries.

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The upbeat reports eased concerns of an economic downturn, which was exacerbated by data on Tuesday that showed a contraction in US factory activity in August. Investors will keep a close watch on the crucial nonfarm payrolls data due on Friday.

“Manufacturing is in a bit of a global slump, but if you look at the other economic data, like the services and jobs reports, none of them point to an economy that is teetering on a recession,” said Michael Antonelli, market strategist at Robert W. Baird in Milwaukee.

The Dow Jones Industrial Average jumped 1.41 per cent to end Thursday’s session at 26,728.15 points while the S&P 500 gained 1.30 per cent to 2,975.97.

The Nasdaq Composite surged 1.75 per cent to

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