Stocks Gain a Second Day on Tech Rally; Oil Surges: Markets Wrap

Stocks Gain a Second Day on Tech Rally; Oil Surges: Markets Wrap

Crude climbs most since June as hurricane threatens coast. Treasury two-year note yields increase to decade highs

Stocks gained as the technology sector rebounded and energy-related shares rallied with crude oil. Treasury two-year note yields rose to a decade high with the U.S. selling debt and expectations becoming cemented for more Federal Reserve rate increases.

The S&P 500 and Nasdaq rose for a second day, while the Dow recovered from Monday’s losses after investors shook off lingering anxiety about U.S. and Chinese trade relations. Apple, Microsoft, Facebook, Amazon and Google parent Alphabet pushed the tech heavy Nasdaq 100 Index up the most in about two weeks. European shares ended mostly flat. In emerging markets, shares fell while a gauge of currencies erased earlier gains.
“Tech is strong, rebounding from that selloff it had,” said Gary Bradshaw, a portfolio manager at Hodges Capital Management in Dallas. “It goes back to second quarter earnings that were exceptionally strong. Obviously we still have trade that hasn’t been worked out, but in spite of a few negatives, this market wants to continue to go higher.”

Crude rose the most since June as Hurricane Florence threatened U.S. East Coast gasoline markets and sanctions began crimping Iranian oil exports. East Coast motorists may see “dramatic” spikes in gasoline prices, according to AAA, as mass evacuations stretch supplies and Florence’s heavy rains imperil major fuel pipelines.

Shares fell earlier after the World Trade Organization said China would ask for permission to retaliate against the U.S. due to its failure to modify anti-dumping methodologies.

Worsening relations between the U.S. and China have been at the top of the agenda, with the Trump administration ready to boost tariffs on even more goods. That’s overshadowed optimism for a trade deal between the EU and the world’s biggest economy. The memory of summertime volatility and weakness in commodities also still provides plenty of reasons for caution as investors brace for meetings of central banks of Argentina, Turkey and Russia this week.

“People are waiting for some additional news on the trade front,” said Peter Jankovskis, co-chief investment officer at Oakbrook Investments. “That’s a big thing that’s overhanging the market right now.” es un sitio web oficial del Gobierno Argentino