US stocks maintain strong rise after early rally

After a sharp rise early in the session, stocks continue to show considerable strength in daytime trading on Thursday. With the rise on the day, the key average is expanding the upward movement seen in the course of the previous session.

Currently, the main average is hovering near the highest level of the day. The Dow rose 539.19 points or 1.6 percent at 34,956.18, the Nasdaq rose 247.27 points or 1.7 percent at 14,749.18, and the S & P 500 rose 63.52 points or 1.5 percent at 4,427.07.

A rally on Wall Street occurs when lawmakers agree to avoid potential defaults and temporarily extend their debt limits.

Senate leader Chuck Schumer, DN.Y. Announced an agreement to extend the debt cap until early December.

The agreement will reportedly increase the debt limit by $ 480 billion and allow the Treasury to continue paying invoices until December 3.

The temporary extension means that the United States could face another debt crisis in just a few weeks, but the news is positively welcomed by traders.

In addition to positive sentiment, a report from the Ministry of Labor showed a larger than expected pullback on the first claim of US unemployment allowance for the week ending October 2.

Initial unemployment claims fell to 326,000, down 38,000 from last week’s revised level of 364,000, according to the report.

Economists expected unemployed claims to drop from 362,000, which was first reported last week, to 348,000.

Unemployed complaints increased for the third straight week, reaching their highest level since early August and then declining more than expected.

The weekly unemployed billing report release takes place on Friday, one day prior to the release of the Labor Department’s more closely monitored monthly job report.

Economists currently expect an increase in employment of 488,000 in September after an increase in employment of 235,000 in August. The unemployment rate is expected to drop from 5.2% to 5.1%.

Sector news

Networking stocks continue to be strong in trading between Japan and China, with the NYSE Arca Networking Index up 2.5%.

The NYSE Arca Steel Index has risen 2.3% after finishing the previous session at a 6-month low, showing significant strength in steel stocks.

Semiconductor stocks also showed a strong upward trend on the day, with the Philadelphia Semiconductor Index rising 2.3%.

Oil service stocks have skyrocketed amid a rebound in crude oil prices, and tobacco, biotechnology and housing stocks are also showing remarkable power.

Other markets

In overseas transactions, stocks market During Thursday’s trading, the Asia Pacific region as a whole rose almost. Japan’s Nikkei 225 index rose 0.5% and Hong Kong’s Hang Seng index rose 3.1%.

Major European markets have also shown strong upward movements. The UK’s FTSE 100 index rose 1.2%, while the French CAC 40 index and the German DAX index rose 1.7% and 1.9%, respectively.

In the bond market, government bonds have been under pressure since the last session ended almost flat. As a result, the yield on benchmark 10-year bonds, which move in the opposite direction of the price, rises 3.9 basis points to 1.563%.

Contact for comments and feedback:

Business news

US stocks maintain strong rise after early rally

Source link US stocks maintain strong rise after early rally

Back to top button