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Wall Street climbs on easing U.S.-China trade tensions

Reuters 

By Sruthi Shankar

(Reuters) - U.S. stocks notched up gains on Monday on signs of easing trade tensions between the and after softened his stance on Chinese company ZTE Corp.

Trump on Sunday pledged to help ZTE "get back into business, fast" nearly a month after the banned American companies from selling to the firm for violating an agreement.

Trump's comments came ahead of trade talks between Chinese and U.S. officials this week.

"There has been calmer trade headlines, we haven't seen the rhetoric pick up," said John Augustine, chief officer at in Columbus,

Shares of some of the biggest suppliers to ZTE, including Acacia Communications, and rose between 11.1 percent and 4.1 percent.

Chip stocks got a boost from that had resumed its review of chipmaker Qualcomm's proposed $44 billion takeover of NXP surged 9.9 percent and 2.8 percent.

The index was up 1.6 percent.

At 11:25 a.m. ET, the was up 142.51 points, or 0.57 percent, at 24,973.68. The blue-chip index was on track to post its eighth straight day of gains, with United Health's 1.6 percent rise providing the biggest boost.

The 500 was up 10.11 points, or 0.37 percent, at 2,737.83 and the Composite was up 40.76 points, or 0.55 percent, at 7,443.64.

The 500 and the Dow rose above their 100-day moving averages, a key technical level, for the first time in nearly a month last week on easing worries of inflation and a surge in

"Soothing economic reports, robust earnings and calmer trade headlines have allowed stocks to gain the footing here so far." Augustine said.

Eight of the 11 sectors were higher, with technology, and leading the gains.

The biggest decliner was Xerox, which tumbled 8.4 percent after the U.S. scrapped a planned $6.1 billion deal with

declined 5.8 percent after filed a lawsuit to stop controlling shareholder from continuing with her plan to merge it with Viacom. CBS rose 4.9 percent.

Advancing issues outnumbered decliners for a 1.39-to-1 ratio on the NYSE and for a 1.17-to-1 ratio on the

The S&P index recorded 22 new 52-week highs and two new lows, while the recorded 100 new highs and 24 new lows.

(Reporting by in Bengaluru; Editing by Anil D'Silva)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Mon, May 14 2018. 21:19 IST
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