US stocks end at records again on trade talk optimism

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New York, Nov 27 (AFP/APP): Major US stock indices closed at records for the second straight session Tuesday as optimism over US-China trade talks offset a somewhat lower consumer confidence reading.

The Dow Jones Industrial Average gained 0.2 percent to 28,121.68.

The broad-based S&P 500 also gained 0.2 percent to 3,140.52, along with the tech-rich Nasdaq Composite Index, which stood at 8,647.93.

All three indices also ended at records on Monday.

Analysts pointed to reports in Chinese state media that depicted the long-running trade talks as still on track to finalize a “phase one agreement.”

US President Donald Trump also suggested there was progress, saying “we’re in the final throes of a very important deal.”

The ups and downs of the trade talks have affected US stocks for more than a year. In recent days, analysts have investors’ fear of missing out on further market gains as a factor in pushing stocks upward.

Tokyo stocks open higher on cheap yen, rallies in US

Data from the Conference Board estimated consumer confidence in November at 125.5, below the October level and under expectations.

However, analysts noted that the reading — which includes part of the key holiday shopping season — was still relatively high by historic standards.

Among individual companies, Best Buy surged almost 10 percent as it reported better-than-expected third-quarter earnings and offered an upbeat outlook on the holiday season.

But Dollar Tree sank 15.2 percent as third-quarter profits lagged analyst expectations. The company’s press release cited a number of challenges, including continued uncertainty on trade.

HP Inc fell 0.5 percent as Xerox announced it planned to take a hostile takeover offer directly to HP shareholders.

The move sets up a proxy fight for control of HP, which has said Xerox’ $33 billion offer “significantly undervalues” the company. Xerox dropped 1.2 percent.

 

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