By Sruthi Shankar
(Reuters) – The Nasdaq and a protest rally on Thursday, starting with strong profits Facebook Inc (NASDAQ 🙂 added to optimism after the Federal Reserve's double observations, while investors awaited the outcome of the US-China trade talks.
Facebook rose 12.2 percent, on the way to launch its best day since January 2016, after its quarterly profit exceeded analysts' estimates, showing that advertisers still gathered to spend money on the service, even after one series of shameless high profile.
General Electric (NYSE 🙂 Co. rose 14.7 percent after the industrial conglomerate surpassed quarterly sales estimates and cash flows and said it expects industrial revenues to rise between the average number and below one-hundred in 2019.
The actions took the heart of the Fed's promise this Thursday that it would be patient to raise interest rates this year, alleviating the concerns of investors about the tightening of financial conditions that hinder economic growth.
"There were positive gains from key companies but mostly it's a follow-up after the concentration of yesterday," said Scot Lance, managing director of Titus Wealth Management in Larkspur, California.
With the gain of the fourth quarter, exceeding the expectations of the market and the Fed with a more flexible tone, the S & P 500 is under way to publish its best monthly performance since October 2015.
Of the 210 S & P 500 companies that reported the results of the fourth quarter, 71 percent exceeded the estimates of benefits, according to Refinitiv data.
Investors expect the conclusion of high-level negotiations between the United States and China, aimed at easing a commercial war of six months that has mistreated financial markets.
US President Donald Trump expressed optimism about business talks, but said no final agreement will be made until he meets Chinese President Xi Jinping in the near future.
"There is a lot of enthusiasm about trade negotiations that give rise to a long-term beneficial plan for both parties. Because despite positive gains and a strong global economy, the business issue continues to be a trend," Lance said.
At 12:57 p.m. ET dropped 58.98 points, or 0.24 percent, at 24.955.88, S & P 500 went up 18.56 points, or 0.69 percent, at 2.699.61 and was 95.79 points, or 1.33 percent , at 7.278.87.
The communications services sector of S & P gained 3.68 percent, which represents an increase in the main sectors of S & P.
Charter Communications Inc. (NASDAQ 🙂 jumped 14.6 percent after exceeding quarterly estimates, as the cable operator attracted more customers for their internet services.
The Dow was dragged by the losses in DowDuPont Inc., which fell 8.5 percent after the chemical manufacturer's revenues did not exceed expectations. The S & P materials sector has dropped by 1.4 percent.
Microsoft Corp. (NASDAQ 🙂 fell 1.4 percent as Azure cloud computing sales grew at a slower rate than a year earlier, although its quarterly results and forecasts hit Wall Street estimates.
Intel Corp. (Nasdaq 🙂 dropped 2.2 percent after the chipmaker named interim executive director Robert Swan on paper permanently.
The advanced problems outnumbered the decline by a ratio of 2.47 to 1 in the NYSE and a ratio of 1.73 to 1 in the Nasdaq.
The S & P index recorded 23 new 52-week highs and no new minimum, while the Nasdaq registered 38 new highs and 18 new ones.