Revelations that China and the U.S. have quietly started negotiating to improve U.S. access to Chinese markets reduced investor concern about an all out trade war. Discussions are said to include areas such as financial services, manufacturing and the trade deficit. What comes of this remains to be seen, but news of talks resulted in a massive gain in U.S. equities.
The Industrials climbed higher all day long, ending the day up 669 points or 2.84%. The Transports followed suit, up 2.07%, as did the Nasdaq and S&P 500, up 3.26% and 2.72%, respectively. Market breadth was also dramatically positive across both shares and issues.
Overseas markets didn't do quite as well, but they may benefit tomorrow from strength here in the U.S. Over in Europe, all major exchanges closed in the red as the Stoxx 600 fell 0.72%. Asia was more of a mixed bag (China's Shanghai Composite closed down 0.60%), which ... Log in or subscribe to continue reading.