Wall Street forges higher amid rosy earnings

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NEW YORK: Wall Street edged higher on Tuesday (Apr 16) amid a string of better-than-expected earnings reports, bringing the three major stock ...

NEW YORK: Wall Street edged higher on Tuesday amid a string of better-than-expected earnings reports, bringing the three major stock indices closer to fresh all-time record levels.

The benchmark Dow Jones Industrial Average added 67.89 points , rising to 26,452.66. The S&P 500 rose 1.48 points to 2,907.06.Meanwhile, the tech-heavy Nasdaq added 24.22 points to 8,000.23, crossing the 8,000-point mark for the first time since October."There is a high degree of nervousness and worry right now in the market and a lot of cash on the sidelines."

Investors believe recent US economic news has been favorable but still expect a recession in the second half of next year, said Haeling, meaning the positive momentum on Wall Street might not be what it seems."Even though the earnings are beating earnings expectations, they are beating a low bar and the revenue side has not been great," he added.Meanwhile, UnitedHealth also posted higher-than-expecting earnings but its stock lead the Dow lower.

Media reports speculated investors were worried the company faces an uncertain regulatory future, with US Democratic presidential candidates increasingly calling for universal health coverage.In the tech sector, chip manufacturer Qualcomm rocketed 23.2 per cent higher, its biggest one-day gains since December of 1999, after the company joined iPhone maker Apple in announcing a settlement in what could have been bruising royalties litigation.

 

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