Wall Street rallied for a fourth session on Wednesday, propelled by Apple, chipmakers and other trade-sensitive stocks after signs of progress in trade talks between the United States and China.
The S&P 500, now in its longest daily winning streak in nearly four months, gaining about 10 percent, up from a 20-month low it touched around Christmas. The gains were due in large part to a potential a deal between the U.S. and China, easing somewhat concerns over the impact of the ongoing trade disputes between the two countries and its effect on global growth.
The Fed released minutes of its December meeting indicating the Fed could be patient about future interest rate increases and that several members did not support the central bank’s rate increase that month.
China pledged to purchase “a substantial amount” of agricultural, energy and manufactured goods and services from the United States, as talks wrapped up in Beijing.
The S&P technology index rose 1.50 percent, with Apple up 1.70 percent despite a Nikkei report that the company had reduced planned production for its three new iPhone models for the January-March quarter.
The Philadelphia Semiconductor index gained 2.52 percent. Chipmakers are among the multinationals with the highest revenue exposure to China.
Shares of Boeing, which also has a large exposure to China, rose 0.97 percent, with the S&P industrial index gaining 0.63 percent.
The energy index led other sectors with a 1.50 percent increase, due in no small part to oil prices reaching their highest levels in nearly a month.
The CBOE Volatility index fell half-a-point to a one-month low of 19.85.
Financial stocks index rose 0.52 percent, with Citigroup climbing 2 percent.
Echoing the Fed minutes released on Wednesday, many policymakers said they could wait on any further interest rate hikes until they had a better handle on whether growing risks will undercut an otherwise solid economic outlook.
For the S&P, Wednesday’s advance marked the benchmark index’s longest streak of gains since mid-September, just before it started retreating from its record high.
Shares of Constellation Brands fell 12.42 percent, dragging down the consumer staples index after the Corona brewer cut its fiscal 2019 earnings outlook.
Approximately 8.0 billion shares changed hands on the major domestic equity exchanges, a number that was below the 9.0 billion share average over the past 20 trading days.