(Reuters) – The S&P 500 was on track to hit a record high at the open on Monday, fueled by a revival in trade talks between the United Stated and China and a reprieve to Chinese telecoms company Huawei.
The S&P 500 e-minis and the Dow e-minis hit record highs earlier, as risk appetite was boosted by the truce that was agreed to at the G20 summit.
US - President - Donald - Trump - Concessions
U.S. President Donald Trump offered concessions including no new tariffs and an easing of restrictions on Huawei Technologies Co Ltd, while China agreed to make unspecified new purchases of U.S. farm products.
Twenty-nine of the 30 Dow components trading before the bell were higher and chipmakers with a sizable revenue exposure to China jumped.
Intel - Corp - Advanced - Micro - Devices
Intel Corp , Advanced Micro Devices Inc and Micron Technology Inc gained between 3% and 5.3%.
“Any step toward a trade resolution, and it doesn’t have to be a lot of progress – just a step, is viewed very positively by markets,” said Scott Brown, chief economist at Raymond James in St. Petersburg, Florida.
Investors - Point - Hopes - Trade - Resolution
“And investors at this point are trying to focus on the positive in hopes that there will be some trade resolution down the line.”
Stocks saw their steepest sell-off this year in May after a breakdown in the U.S.-China trade negotiations sparked concerns of a global economic slowdown.
Expectations - Federal - Reserve - S - P
However expectations of a more accommodative Federal Reserve helped the S&P 500 and the blue-chip Dow Jones Industrial Average index post...
Wake Up To Breaking News!
It's a fight to the death, which you will eventually lose...