US close: Markets finish higher as Apple surges on new phone range
Trading on Wall Street finished on a positive note on Thursday, with shares of Apple well into the green the way as investors welcomed the latest developments between the US and China on the trade front.
The Dow Jones Industrial Average was ahead 0.57% at 26,145.99, the S&P 500 added 0.53% to 2,904.18, and the Nasdaq 100 was 0.98% higher at 7,561.69.
Trade relations remained in focus after US officials invited China to new trade talks, which the Chinese foreign ministry welcomed.
“A collective sigh of relief across financial markets and investors has been noticed following the latest reports that the United States has proposed fresh trade talks with China,” said FXTM research analyst Lukman Otunuga.
"While this is not the first time there has been optimism around negotiations between Washington and Beijing.
“The talks are overall a positive step that both sides are willing to diffuse tensions between the two largest economies in the world.”
On the data front, the rate of gains in US consumer prices slowed last month, as medical commodities and services prices dipped.
Apparel and commodity prices outside of food and energy also fell.
According to the Bureau of Labor Statistics, headline consumer prices rose at a month-on-month clip of 0.2%, which pushed the annualised rate of gains to 2.7%, which was down from 2.9% in the month before.
Economists had penciled-in a smaller slow down to 2.8%.
Elsewhere, the number of Americans filing for unemployment benefits unexpectedly dropped last week, according to data from the Labor Department.
US initial jobless claims fell by 1,000 from the previous week’s revised level to 204,000, beating expectations for an increase to 210,000 and marking the lowest level since 6 December 1969.
The previous week’s level was revised up by 2,000 to 205,000.
Meanwhile, the four-week moving average declined by 2,000 from the previous week’s average to 208,000, also marking the lowest level since 6 December 1969
In corporate news, Apple advanced 2.42% after unveiling its new products on Wednesday at its annual product launch event in Cupertino, California.
The tech giant unveiled three new iPhones and announced its next-generation Apple Watch series 4.
RBC Capital Markets said there was "something for everybody", with the new product announcements highlighting the company's goal of addressing a broader consumer market while focusing on improving average selling prices and profitability.
“We believe Apple's current stock price creates an attractive entry point for investors to benefit from its ability to generate revenue and earnings per share growth in FY18," RBC said.
Meanwhile, shares in grocery chain Kroger tumbled 9.93% after the release of its second-quarter earnings.
Dow Jones - Risers
Boeing Co. (BA) $355.41 2.96%
Merck & Co. Inc. (MRK) $70.86 2.53%
Apple Inc. (AAPL) $226.41 2.42%
Procter & Gamble Co. (PG) $83.47 1.76%
Unitedhealth Group Inc. (UNH) $265.50 1.70%
International Business Machines Corp. (IBM) $148.94 1.63%
Visa Inc. (V) $147.62 1.47%
Intel Corp. (INTC) $45.57 1.42%
United Technologies Corp. (UTX) $135.51 1.42%
Pfizer Inc. (PFE) $42.85 1.30%
Dow Jones - Fallers
Home Depot Inc. (HD) $209.45 -2.06%
Dowdupont Inc. (DWDP) $68.92 -1.66%
Walmart Inc. (WMT) $95.14 -1.57%
McDonald's Corp. (MCD) $162.38 -1.35%
3M Co. (MMM) $209.07 -1.27%
Goldman Sachs Group Inc. (GS) $228.34 -0.82%
JP Morgan Chase & Co. (JPM) $113.57 -0.80%
Exxon Mobil Corp. (XOM) $82.31 -0.65%
Coca-Cola Co. (KO) $45.84 -0.41%
Walgreens Boots Alliance, Inc. (WBA) $70.48 0.14%
S&P 500 - Risers
Spectra Energy Corp. (SE) $13.91 12.17%
International Flavors & Fragrances Inc. (IFF) $137.25 7.79%
DaVita Inc (DVA) $71.34 7.17%
GameStop Corp. (GME) $17.03 5.38%
Zimmer Biomet Holdings Inc (ZBH) $129.67 5.19%
Micron Technology Inc. (MU) $43.62 4.50%
Corning Inc. (GLW) $35.07 4.50%
Range Resources Corp. (RRC) $15.62 4.21%
TEGNA Inc (TGNA) $11.80 4.15%
Keurig Dr Pepper Inc. (KDP) $24.13 4.10%
S&P 500 - Fallers
Kroger Co. (KR) $28.58 -8.95%
SunTrust Banks Inc. (STI) $68.04 -8.33%
Bed Bath & Beyond Inc. (BBBY) $17.53 -6.85%
Keycorp (KEY) $19.93 -5.81%
M&T Bank Corp. (MTB) $170.99 -4.41%
Wells Fargo & Co. (WFC) $55.02 -4.13%
Regions Financial Corp. (RF) $18.86 -3.97%
BB&T Corp. (BBT) $49.96 -3.68%
United Parcel Service Inc. (UPS) $119.70 -2.74%
Red Hat Inc. (RHT) $146.86 -2.67%
Nasdaq 100 - Risers
NetEase Inc. Ads (NTES) $201.76 5.31%
Micron Technology Inc. (MU) $43.62 4.50%
QUALCOMM Inc. (QCOM) $74.61 3.99%
Asml Holdings N.V. (ASML) $182.00 3.78%
Dish Network Corp. (DISH) $36.51 3.43%
Skyworks Solutions Inc. (SWKS) $87.21 3.37%
Comcast Corp. (CMCSA) $37.04 2.63%
Apple Inc. (AAPL) $226.41 2.42%
Broadcom Inc. (AVGO) $235.42 2.41%
Regeneron Pharmaceuticals Inc. (REGN) $397.71 2.27%
Nasdaq 100 - Fallers
Seagate Technology Plc (STX) $48.21 -2.55%
CSX Corp. (CSX) $73.18 -1.29%
J.B. Hunt Transport Services Inc. (JBHT) $123.87 -1.13%
Ulta Salon, Cosmetics & Fragrance Inc. (ULTA) $280.52 -1.10%
Dollar Tree Inc (DLTR) $84.41 -0.66%
Expedia Group Inc. (EXPE) $130.41 -0.63%
O'Reilly Automotive Inc. (ORLY) $341.81 -0.63%
Align Technology Inc. (ALGN) $379.64 -0.57%
Netflix Inc. (NFLX) $368.15 -0.49%
Costco Wholesale Corp. (COST) $241.27 -0.48%