US stocks boosted by September retail sales gain
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NEW YORK, Oct 13 ― Wall Street stocks rose early today after a US retail sales report bested expectations and Chinese trade data suggested solid growth in the world’s second-biggest economy.
US retail sales jumped 1.6 per cent in September due to strong trade in cars, car parts and fuel following US hurricanes, Commerce Department data showed.
Analysts also said sentiment was boosted by Chinese trade data that showed exports grew 8.1 per cent and imports expanded 18.7 per cent in September, compared with the same period last year. The surge in imports shows demand in China is strong.
About 20 minutes into trading, the Dow Jones Industrial Average stood at 22,877.01, up 0.2 per cent.
The broad-based S&P 500 advanced 0.1 per cent to 2,553.30, while the tech-rich Nasdaq Composite Index climbed 0.2 per cent to 6,606.94.
Wells Fargo sank 3.9 per cent after reporting a sharp decline in third-quarter earnings due to US$1 billion in legal costs and elevated compliance costs following a fake accounts scandal.
Bank of America dipped 0.9 per cent despite reporting better-than-expected third-quarter earnings of US$5.1 billion (RM21.4 billion), up 15 per cent from the year-ago period.
Health shares fell after President Donald Trump moved to weaken the Obamacare health law. The White House plans to halt payments to insurers that are designed to help millions of lower income Americans afford coverage after earlier announcing an executive order that would deregulate parts of the insurance industry.
Dow member UnitedHealth Group fell 1.3 per cent and fellow insurer Aetna lost 1.4 per cent, while hospital company HCA Healthcare dropped 1.6 per cent. ― AFP