By Shreyashi Sanyal
(Reuters) – US shares rose on Wednesday, as strong earnings from IBM United Technologies and Procter & Gamble led a rebound for Wall Street from its second largest decline in 2019.
International Business Machines Corp. (N 🙂 jumped 8.78 percent and brought the gains on the Dow Jones Industrial Average () after the technology service had expected 201[ads1]9 surpluses above expectations. 19659004] Gains in IBM's shares also lifted the S&P technology sector (), which rose 1.19 percent.
A 6.65 percent increase in United Technologies Corp. (N :), which reported a better-than-expected quarterly result, pushed the S&P industry sector () 1.05 percent higher.
Other Industrial Companies Boeing Co (N :), Caterpillar Inc (N 🙂 and 3M Co (N 🙂 rose between 0.5 percent and 1.2 percent. Gat's gains follow more than 1 percent loss on Tuesday on global growth concerns due to a gloomy financial outlook from the International Monetary Fund, evidence of further chilling in China's economy and mixed reports of US-China trade negotiations.
"Given one day yesterday, a bounce of revenue is not uncommon," said Michael Antonelli, CEO, institutional sales at Robert W. Baird in Milwaukee.
"UTX, as an industrial company, is definitely an investor looks for hints about the impact of a global economic downturn. The fact that it provided a strong forecast only shows that the US economy is actually solid. "
Facing some concerns about trade negotiations, White House's financial advisor Kevin Hassett said he believed the US and China could reach a trade agreement by March 1.
At 9:56 AM The Dow Jones Industrial Average (Dow Jones Industrial Average) was up 283.95 points, or 1.16 percent, at 24 688.43, S & P 500 () were up 18.80 points, or 0.71 percent, of 2.651.70 and Nasdaq Composite () was 58.66 points, or 0.84 percent, at 7.079.02
Despite the withdrawal on Tuesday, the benchmark index S & P 500 index () is less than 10 percent away from record highs high on September 20 and has climbed around 6 percent this year
Procter & Gamble Co (N 🙂 rose 5.98 percent, contributing to consumer penalties () increasing 1.41 percent after quarterly revenues hit Wall Street expectations.
The biggest downturn in the sector was Kimberly Clark Corp N :), which fell 1.96 percent after the quarterly result, missed analysts' estimates due of rising raw material costs and a strong US dollar.
The communications services sector () rose 0.93 percent at a 6.35 percent gain in cable provider Comcast Corp (O :), beating analysts' revenue estimates lower than expected video subscriber losses.
Abbott Laboratories (N 🙂 fell 1.36 percent after health care had missed quarterly revenue estimates due to lower sales of generic drugs in emerging markets and made a negative forecast for the current quarter.
Of the 61 S & P 500 companies that reported on Tuesday, 78.7 percent have beaten Wall Street's profit estimates, and it is above the historical average of 64 percent, according to Refinitiv data.
However, income growth estimates have fallen to 14.1 percent from 20.1 percent at the beginning of October.
Progress problems exceeded decliners with a ratio of 2.83 to 1 on the NYSE and with a ratio of 2.83 to 1 on Nasdaq.
The S&P index recorded three new 52-week highs and no new downs, while Nasdaq recorded 11 new highs and 14 new downs.