“If earnings come out good, I think this rally is sustainable if we don’t get negative trade news. Trade news is the wild card. That’s the big if,” said Sampson.
The Dow Jones Industrial Average rose 287.16 points, or 1.15 per cent, to 25,339.99, the S&P 500 gained 38.76 points, or 1.42 per cent, to 2767.13 and the Nasdaq Composite added 167.83 points, or 2.29 per cent, to 7496.89.
The technology sector’s biggest boosts were Apple and Microsoft, which rose more than 3 per cent. Visa and Mastercard both climbed almost 5 per cent, boosted by strong credit card sales included in bank earnings reports, according to Oakbook’s Sampson.
The S&P500’s financial sector ended the day up 0.1 per cent and the S&P 500 banks subsector closed down 0.4 per cent, well above its session low. The biggest drag on the subsector was JPMorgan Chase & Co, which closed down 1 per cent despite reporting a quarterly profit that beat expectations.
PNC Financial led the percentage losers among bank stocks, with a 5.6 per cent drop after the regional bank reported disappointing quarterly loan growth and said it expected only a small improvement in lending this quarter.
The three gainers among banks included Citigroup, which rose 2.0 per cent, and Wells Fargo, which eked out a 1.3 per cent gain after upbeat results.
Playing in 5 …Don’t Play
Netflix and Amazon, some of the names that took a big hits in the week’s selloff, rose 5.7 per cent and and 4 per cent respectively.
The bank results launch a quarterly reporting season that will give the clearest picture yet of the impact