Trade optimism lifts S&P 500 closer to new record highs

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Trade optimism lifts S&P 500 closer to new record highs

On Monday, the 21st of October 2019, all three key indexes of Wall Street had rounded off the day in an upscaled note, while the benchmark Standard & Poor 500 had winded down Monday (October 21st) market a whisker away from its all-time record closing high, as signs of progress in ratification of a partial Sino-US trade deal which US President Donald Trump dubbed as a “Phase One” trade deal towards reaching a favourable trade pact with China, had buoyed up appetites for riskier assets, which in effect led to a rally of Wall Street stocks exposed to trade and global economy.

Meanwhile, investors’ optimism gathers bullish wing further following Trump’s trade-talk comments in a buoyant note, while White House trade adviser Larry Kudlow’s comment on possible withdrawal of tariffs on Chinese goods scheduled to be subject for tariff hikes from mid-December spurred hope of an earlier-than-anticipated trade truce between Washington and Beijing.

Besides, referring to a growing optimism of a Sino-US trade truce, Chief Investment Officer of Independent Advisor Alliance in Charlotte, North Carolina, Chris Zaccarelli said on Monday (October 21st) market closure, “People are continuing to be optimistic that some type of trade truce with China can be pushed forward,” while endorsing an upbeat corporate earnings’ season so far behind Monday’s rally, an investment strategist at Allianz Global Investors in NY, Mona Mahajan said, “We’re watching for a breakout to the upside of that range.

Thus far, the early signs we’re seeing are favourable. ” Quoting statistics, on Monday’s (October 21st) market wrap-up, Dow rose 0.21 per cent to 26,827.64, S&P surged 0.69 per cent to 3,006.72, while leading the charges on Monday’s Wall St. rally, tech-heavy Nasdaq gained 0.91 per cent to wind down the day at 8,162.99.