Business Market Updates

Stocks Rebound on Report USA, China Close to Agreement to Roll Back Tariffs as Part of Trade Agreement

Stocks rebounded from the selloff the day before, finishing higher on a Bloomberg News report that the US and China were close to reaching an agreement on the number of tariffs that would be rolled back as part of their so-called phase one trade deal.President Donald Trump said the day before that an agreement may pushed back until after the November elections, sending stocks down.

Bloomberg, citing unnamed sources, reported that Trump’s comments were “off the cuff” and not intended to say negotiations had stalled.

Ten of 11 sectors in the Standard & Poor’s 500 rose, led by energy’s nearly 1.6% gain.

Crude-oil futures surged after a larger-than-expected slide in US stockpiles and deeper output cuts from the Organization of the Petroleum Countries and other producers. West Texas Intermediate rose almost 4.1% to $58.38 a barrel while international benchmark Brent gained more than 3.6% to $63.03 a barrel.

Exxon Mobil (XOM) firmed 1.1%, Pioneer Natural Resources (PXD) popped 5.7%, and EOG Resources (EOG) added 4.8%.

Financials jumped nearly 1%, as JPMorgan Chase (JPM) rose 2%, Goldman Sachs (GS) gained 1.7% and American Express (AXP) advanced 1.2%.

Health care added 0.9% as Johnson & Johnson (JNJ) gained 1.6% while Merck (MRK) added 1.5%. Mylan (MYL) rose 1.9%.

In corporate news, Expedia (EXPE) ended 6.2% higher after Chief Executive Mark Okerstrom and Chief Financial Officer Alan Pickerill resigned, effective immediately. Chairman Barry Diller and Vice Chairman Peter Kern are to oversee day-to-day operations of the online travel company until its board names new leadership, the company said.

The Dow Jones Industrial Average and Nasdaq Composite each rose more than 0.5%. The S&P 500 gained more than 0.6%.

About the author

Marie Royer

Marie Royer

After obtaining almost 3 Years of experience in technical writing at a magazine publishing firm, Marie Royer has been offered the position of Senior Content Writer at Expert Recorder news portal. After acquiring the Bachelor’s Degree in Electrical Engineering, she has opted her career path in the technical writing field owing to her keen interest in technological advancements in gadgets. She is a gadget freak person and has a better interpretation of technical terminologies, which pushes her to become capable in writing technical matter. In her spare time, she prefers writing and publishing technology-related reviews & blogs on social networking sites. Apart from this, she loves to attend tech-exhibitions and conferences.