U.S. Stocks Tick Higher As Tech Stocks Rally -- Update
By Akane Otani and Anna Isaac
The Dow Jones Industrial Average notched its sixth consecutive session of gains Wednesday, lifted by a rally among technology shares.
Stocks drifted around the flatline to start the day, but then steadily rose throughout the afternoon. The day's gains were broad, lifting all but the real estate sector in the S&P 500.
The Dow industrials climbed 227.61 points, or 0.8%, to 27137.04, posting its longest streak of gains since June. The S&P 500 jumped 21.54 points, or 0.7%, to 3000.93 and the tech-heavy Nasdaq Composite advanced 85.52 points, or 1.1%, to 8169.68.
With not much economic data on the docket Wednesday, analysts said they were looking ahead to central bank meetings in the coming days. Both the European Central Bank and Federal Reserve are expected to cut interest rates in September.
"We're waiting to see policy makers react to stabilize growth," said Shawn Snyder, head of investment strategy at Citi Personal Wealth Management.
Because there is still so much uncertainty around the path of U.S.-China trade talks, "it's hard to judge what the economic outlook is," Mr. Snyder said, though he added that Citi doesn't expect a bear market in stocks in the near term.
Tech stocks led the way Wednesday, with Apple extending a rally that began Tuesday after it unveiled a trio of new iPhones and monthly prices for its new video-streaming service. Shares of the phone maker finished up $6.89, or 3.2%, to $223.59.
Other technology stocks jumped as well, with Facebook, Micron Technology and Intel all rising at least 1%.
Earnings-related news drove additional swings among individual stocks.
Dave & Buster's Entertainment slid $2.02, or 4.6%, to $41.70 after cutting its guidance.
GameStop shed 50 cents, or 9.8%, to $4.59 after reporting a loss for the most recent quarter and giving a downbeat forecast for the year.
Elsewhere, markets in Europe and Asia were mostly higher. The Stoxx Europe 600 rose 0.8% to notch its biggest gain in a week, and South Korea's Kospi added 0.8% after strong jobs data.
Investors have shown signs in recent days of expecting less stimulus from the ECB when it meets Thursday.
"Ahead of the ECB meeting, investors seemed to take some chips off the table with aggressive expectations being pared back," said Antoine Bouvet, senior rates strategist at ING Bank in a note.
Still, investors are still betting both the ECB and the Fed will lower rates.
On Wednesday, President Trump called again for looser U.S. monetary policy when he tweeted, "The Federal Reserve should get our interest rates down to ZERO, or less, and we should then start to refinance our debt."
Expectations of lower rates helped markets climb at the start of the year, though stocks have pared some of their gains since then.
Government bond prices weakened Wednesday, with the yield on the 10-year U.S. Treasury note rising to 1.733% from 1.706% on Tuesday after data showed producer prices rose more than expected in August.
With bonds, prices move inversely to yields. Inflation tends to hurt government bond prices because it chips away at the value of bonds' fixed payouts.
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