U.S. Stocks Remain Mostly Positive, Dow Posting Modest Gain
(RTTNews) - After moving to the upside early in the session, stocks remain mostly positive in mid-day trading on Monday. The Nasdaq and the S&P 500 have climbed firmly into positive territory, although the narrower Dow is showing a more modest uptick.
Currently, the Dow is holding on to a slim, with the blue chip index up 23.72 points or 0.1 percent at 26,793.92. The Nasdaq is up 60.56 points or 0.8 percent at 8,150.11 and the S&P 500 is up 15.74 points or 0.5 percent at 3,001.94.
The advance by the broader markets comes amid renewed optimism about the completion of phase one of a U.S.-China trade deal following comments from President Donald Trump and Chinese Vice Premier Liu He.
Trump said he thought an agreement would be signed by the time the Asia-Pacific Economic Cooperation meetings take place in Chile on November 16 and 17.
Meanwhile, Liu said that China and the United States would work to address each other's core concerns on the basis of equality and mutual respect.
"China and the U.S. have made substantial progress in many aspects, and laid an important foundation for a phase one agreement," Liu said at a tech conference on Saturday, according to Bloomberg News.
The strong corporate results reported last week have also made traders hopeful as earnings season gets into full swing in the coming days.
McDonald's (MCD), Procter & Gamble (PG), UPS (UPS), Caterpillar (CAT), eBay (EBAY), Ford (F), Microsoft (MSFT), Tesla (TSLA), Twitter (TWTR), Amazon (AMZN), and Intel (INTC) are just a few of the companies due to report their results this week.
Meanwhile, a steep drop by shares of Boeing (BA) is limiting the upside for the Dow, with the aerospace giant tumbling by 3.9 percent.
Boeing is extending last Friday's sell-off after the aerospace giant expressed regret over the concern caused by leaked messages from a former test pilot revealing he unintentionally misled safety regulators about the grounded 737 MAX jet's control system.
Oil service stocks continue to turn in some of the market's best performances in mid-day trading, with the Philadelphia Oil Service Index surging up by 3.9 percent.
Industry giant Halliburton (HAL) is leading the oil service sector higher after reporting third quarter earnings in line with analyst estimates.
Significant strength also remains visible among computer hardware stocks, as reflected by the 2.3 percent jump by the NYSE Arca Computer Hardware Index. The index has reached its best intraday level in a month.
Banking, semiconductor, and transportation stocks are also seeing considerable strength, moving higher along with most of the other major sectors.
Meanwhile, gold stocks are bucking the uptrend by the broader markets, with the NYSE Arca Gold Bugs Index slumping by 2.2 percent.
The sell-off by gold stocks comes amid a decrease by the price of the precious metal, as gold for December delivery is sliding $6.60 to $1,487.50 an ounce.
In overseas trading, stock markets across the Asia-Pacific region moved modestly higher during trading on Monday. Japan's Nikkei 225 Index rose by 0.3 percent, while China's Shanghai Composite Index inched up by 0.1 percent.
The major European markets also moved to the upside on the day. While the German DAX Index advanced by 0.9 percent, the French CAC 40 Index and the U.K.'s FTSE 100 Index both edged up by 0.2 percent.
In the bond market, treasuries have come under pressure after ending last Friday's trading slightly higher. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, is up by 5.2 basis points at 1.799 percent.