US open: Stocks bounce as geopolitical tensions ease
Wall Street's main market gauges were broadly higher following moves by the US and China at the weekend to calm the situation on the Korean peninsula.
As of 1559 BST, the Dow Jones Industrials was tacking on 147.27 points or 0.67% to 22,006.20, alongside a 24.89 point or 1.02% gain for the S&P 500 to 2,466.17 and a 73.72 point or 1.18% advance in the tech-laden Nasdaq Composite to 6,330.39.
Meanwhile, the Chicago Board of Options Exchange's volatility index was 20.12% lower to 12.39. From a sector standpoint, the best performance was being seen in the following industry groups: Marine transportation (2.04%), Semiconductors (1.98%) and Banks (1.97%).
Going the other way were Non-ferrous metals (-1.34%), Gold mining (-1.20%) and Mining (-1.05%).
In a telephone conversation on Saturday, US president Donald Trump and his Chinese counterpart Xi Jinping agreed on the need for a nuclear-free Korean peninsula.
Xi also told Trump all sides needed to show restraint and avoid making inflammatory remarks.
"The dust has settled somewhat, and seeing as the US is talking more along political lines rather than military action, traders took this as a positive sign," said David Madden at CMC Markets UK.
For his part, Gaurav Saroliya, Director of Global macro strategy at Oxford Economics, said the "global expansion is likely to continue over the next six to 12 months. Geopolitical risks will really have to threaten the world economy to send markets into a deep tailspin. So, while we accept that there can be further short-term market downside from the North Korea-US war of words, the key fact is that global growth remains solid."
However, tensions were still present on other fronts, including on trade between the China and the US.
Ahead of the expected launch on Monday of a US trade investigation into alleged Chinese violations of intellectual property laws, a spokesman for Beijing decried the move by Washington as pressure on his government to act against Pyongyang.
No economic data were set for release in the States on Tuesday.
On the corporate front, Moody's assigned Amazon's long-term debt a Baa1 rating ahead of an expected $16bn sale to help fund its purchase of Whole Foods market.
Andeavor Logistics said it would purchase master limited partnership Western Refining Logistics LP in a transaction with an enterprise value of $1.8bn, including debt.
In other M&A news, VF Corp. announced it would acquire Williamson-Dickie Mfg.Co. for approximately $820m in cash.
Snap was topping the NYSE's list of most active shares following sharp share price losses during the previous session.
Dow Jones - Risers
Goldman Sachs Group Inc. (GS) $228.63 2.00%
Nike Inc. (NKE) $59.77 1.36%
Cisco Systems Inc. (CSCO) $31.89 1.33%
Visa Inc. (V) $101.42 1.33%
JP Morgan Chase & Co. (JPM) $92.62 1.31%
Apple Inc. (AAPL) $159.53 1.30%
Microsoft Corp. (MSFT) $73.43 1.28%
Intel Corp. (INTC) $36.29 1.17%
American Express Co. (AXP) $85.22 1.10%
Caterpillar Inc. (CAT) $114.07 1.08%
Dow Jones - Fallers
McDonald's Corp. (MCD) $156.84 -0.29%
Home Depot Inc. (HD) $154.66 -0.14%
Pfizer Inc. (PFE) $33.24 -0.03%
Johnson & Johnson (JNJ) $133.11 0.01%
Walt Disney Co. (DIS) $102.16 0.16%
3M Co. (MMM) $206.35 0.18%
Unitedhealth Group Inc. (UNH) $193.53 0.26%
Chevron Corp. (CVX) $109.58 0.32%
Travelers Company Inc. (TRV) $128.64 0.36%
International Business Machines Corp. (IBM) $142.39 0.39%
S&P 500 - Risers
Micron Technology Inc. (MU) $29.28 4.53%
Nvidia Corp. (NVDA) $162.09 3.93%
Western Digital Corp. (WDC) $82.89 3.74%
Qorvo, Inc. (QRVO) $71.26 3.43%
Citizens Financial Group, Inc. (CFG) $34.32 2.79%
Dollar Tree Inc (DLTR) $75.52 2.75%
Hewlett Packard Enterprise (HPE) $17.77 2.75%
Synchrony Financial (SYF) $30.00 2.74%
Interpublic Group of Companies Inc. (IPG) $21.24 2.73%
Lam Research Corp. (LRCX) $158.30 2.62%
S&P 500 - Fallers
Tenet Healthcare Corp. (THC) $13.45 -4.27%
Sysco Corp. (SYY) $50.78 -1.55%
Newmont Mining Corp. (NEM) $35.97 -1.53%
Darden Restaurants Inc. (DRI) $82.42 -1.10%
L3 Technologies Inc (LLL) $181.90 -0.94%
Frontier Communications Co. (FTR) $14.77 -0.94%
Marathon Oil Corp. (MRO) $12.03 -0.74%
Alcoa Corporation (AA) $37.52 -0.69%
Consolidated Edison Inc. (ED) $82.30 -0.69%
Chipotle Mexican Grill Inc. (CMG) $324.43 -0.61%
Nasdaq 100 - Risers
Micron Technology Inc. (MU) $29.28 4.53%
Nvidia Corp. (NVDA) $162.09 3.93%
Western Digital Corp. (WDC) $82.89 3.74%
Liberty Interactive Corporation - Series A Liberty Ventures (LVNTA) $62.29 2.82%
Dollar Tree Inc (DLTR) $75.52 2.75%
Lam Research Corp. (LRCX) $158.30 2.62%
Microchip Technology Inc. (MCHP) $84.31 2.55%
Check Point Software Technologies Ltd. (CHKP) $108.46 2.38%
Seagate Technology Plc (STX) $33.06 2.37%
Analog Devices Inc. (ADI) $79.83 2.29%
Nasdaq 100 - Fallers
JD.com, Inc. (JD) $43.95 -4.25%
Ctrip.Com International Ltd. Ads (CTRP) $53.15 -1.30%
Mercadolibre Inc. (MELI) $237.60 -1.07%
Mylan Inc. (MYL) $30.70 -0.58%
Shire Plc Ads (SHPG) $147.92 -0.46%
Liberty Global Plc Lilac Class A (LILA) $26.92 -0.26%
Netflix Inc. (NFLX) $170.98 -0.25%
Henry Schein Inc. (HSIC) $170.49 -0.05%
Dentsply International Inc. (XRAY) $55.32 -0.02%
Liberty Global Plc Lilac Class C (LILAK) $26.84 0.07%