Wall Street edges higher on tech boost; G20 summit eyed

S&P 500 rises on investor optimism ahead of G20 summit

S&P 500 rises on investor optimism ahead of G20 summit

June 27 (Reuters) - U.S. stocks were set to open slightly higher on Thursday, as investors stayed away from making big bets amid conflicting reports on trade talks between the United States and China at the upcoming G20 summit. Meanwhile, as markets expect trade talks to resume between Xi and Trump leading to additional United States tariffs to be delayed for a period of time, analysts at ANZ Bank argue that the complexity of resolving economic aspirations between the two countries is a herculean task and note markets remain cautious. Trump and Xi are expected to discuss a way forward regarding tariffs and other issues when they meet.

"Today's trading is a G20 pregame", said Matt Forester, chief investment officer of BNY Mellon's Lockwood Advisors in NY. "What investors are hoping for now is that the meeting diffuses some of the tension".

"No pair of geopolitical rivals in history have had more connection to each other's economies", Forester added.

"Chipmakers are a proxy for trade optimism", said Chuck Carlson, chief executive officer at Horizon Investment Services in Hammond, Indiana.

Among the 11-major S&P 500 sectors, the Financials and the Real Estate indexes both add 0.8% on the day to lead the winners while the Consumer Staples index erases 0.2%.

Chipmakers, whose revenue exposure to China makes them vulnerable to tariffs, ended the session higher. VIX, commonly known as the "fear index", declined 1.6% to 15.95 on a scale of 1-100 where 20-25 represents the historic average.

The Final Word: It remains to be seen whether the United States and China can finally move past their almost yearlong trade dispute.

San Francisco becomes 1st major USA city to ban e-cigarettes
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Ford Motor Co rose 2.3% after the carmaker said it will have cut 12,000 jobs in Europe by the end of next year to try to return the business to profit.

Boeing Co (BA.N) fell 2.3%, pressuring the blue-chip Dow Jones index .DJI, after Reuters reported that the U.S. Federal Aviation Administration identified a new flaw in the planemaker's grounded 737 MAX jets.

Conagra Brands Inc (CAG.N) tumbled 11.4%, the most among S&P 500 companies, after the packaged food company's quarterly sales and profit fell short of analysts' estimates.

The trade-sensitive industrials rose 0.31%, while tech stocks were up 0.50%.

Higher drug prices and an increase in prescription volume helped Walgreens Boots Alliance beat quarterly earnings expectations, sending its stock up 4.1 per cent.

Advancing issues outnumbered decliners by a 2.79-to-1 ratio on the NYSE and by a 3.08-to-1 ratio on the Nasdaq.

Volume on USA exchanges was 6.14 billion shares, compared to the 6.98 billion average for the full session over the last 20 trading days.

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