Investing.com – The Dow rallied Wednesday on growing hopes the U.S. and China will reach an agreement after President Donald Trump said trade talks were going "very well."
The Dow Jones Industrial Average rose 0.46%, or 117 points. The S&P 500 added 0.30% and the Nasdaq Composite rose 0.08%.
Trump said the high-level parley on trade between U.S. and China was progressing "well," easing investor worries that both nations would be unable to reach a trade agreement by end of the current trade war truce on March 1.
The president's somewhat reassuring remarks on trade come a day after he told reporters he was open to extending the deadline beyond March 1 if there is sufficient progress on the talks.
The upbeat hopes of a trade deal and strong gains in General Electric (NYSE:GE) supported trade-sensitive industrials sector.
GE rose 3.91% a day after Reuters reported the conglomerate had secured the most orders for electricity-generating gas turbines in 2018. But Mitsubishi Hitachi Power Systems beat General Electric to the top spot for orders of the largest and most advanced turbines.
Beyond trade, rising energy stocks powered the broader market higher. The gains reflected rising oil prices as Saudi Arabia's pledge to continue cutting output offset data showing a larger-than-expected build in domestic crude stockpiles.