FX.co ★ US Stocks Gain on Positive Trade Developments

On Wednesday, US stock markets saw an upward trend: the S&P 500 increased by 0.3%, the Nasdaq experienced a slight rise of 0.1%, and the Dow Jones surged over 250 points. This positivity follows the S&P 500 achieving consecutive record high closures. The investor mood was uplifted by renewed optimism around trade agreements, sparked by President Trump's announcement of a new deal with Japan. This agreement will see tariffs reduced from 25% to 15%, and Japan has pledged to invest $550 billion in the United States while opening its markets to crucial American goods. Furthermore, a trade pact with the Philippines was disclosed, and there is growing anticipation that an agreement with the EU could be finalized soon. Among the sectors, health and industrials led the performance, whereas communication services showed a weaker performance. As the earnings season continues to capture attention, companies such as Alphabet (-0.1%), Tesla (-0.5%), T-Mobile (-0.2%), and IBM (0.9%) are poised to report their earnings following the market opening. Notably, Texas Instruments saw a significant decline of 11% after presenting a less promising earnings forecast, while AT&T fell by 2.9% in spite of surpassing earnings projections.