Overseas Market Report
The benchmark S&P 500 has touched a record high and equalled its longest ever bull-market run, as US stocks rose on earnings reports in the consumer sector and relative calm in the trade dispute between the United States and China. The S&P rose as much as 0.6 per cent to a record intraday high of 2,873.23 points on Tuesday, topping its previous record high of 2,872.87 on January 26, though it closed below both those marks.The index’s bull-market run is now 3,452 days old and on Wednesday would become the longest such streak in history, at least for some market watchers. Trade-sensitive industrial stocks rose for the fourth consecutive session as investors remained optimistic that the United States and China could move closer to settling their trade dispute. The S&P 500 industrial index rose 0.8 per cent. The S&P consumer discretionary index climbed 0.9 per cent as shares of off-price retailer TJX Companies rose on strong results and Toll Brothers’ encouraging quarterly report boosted shares of homebuilders.
“We’ve got good momentum, which is fundamentally justified by the strong economy and better earnings,” said Kevin Caron, senior portfolio manager at Washington Crossing Advisors in Florham Park, New Jersey. “Investors still seem relatively optimistic about growth, and you’re seeing that expressed in the market today.”
The Dow Jones Industrial Average rose 63.6 points, or 0.25 per cent, to 25,822.29, the S&P 500 gained 5.91 points, or 0.21 per cent, to 2,862.96 and the Nasdaq Composite added 38.17 points, or 0.49 per cent, to 7,859.17. The small-cap Russell 2000 index, which is less affected by global tariff disputes than its large-cap peers, ended the session up 1.1 per cent at a record closing high. The S&P 500 energy index rose 0.5 per cent and the S&P 500 materials index gained 0.4 per cent, in tandem with higher prices for oil and metals.
Morning Market Note - Wednesday 22nd August
