Bank and tech stocks push Wall Street higher - RTHK
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Bank and tech stocks push Wall Street higher

2019-06-11 HKT 06:10
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  • Investors took succour from the suspension of sanctions on Mexico. File photo: AP
    Investors took succour from the suspension of sanctions on Mexico. File photo: AP
US markets have closed higher, with banking and technology companies gaining after Washington called off planned tariffs on Mexico. The Dow Jones was up 78 points or 0.3 percent at 26,062. The S&P 500 climbed 0.5 percent to 2,886, while the Nasdaq jumped 1.1 percent to 7,823.

"The quick deal on border security with Mexico boosted risk assets across the board, with equities, in particular, gaining ground globally," said Gorilla Trades strategist Ken Berman.

But the US is still embroiled in difficult trade negotiations with China. Trump told CNBC on Monday he still expects to talk with his Chinese counterpart, Xi Jinping, at the upcoming G20 summit, and warned he will impose new tariffs if Xi fails to show up.

Trump also revived his ongoing criticism of the Federal Reserve, calling the US central bank "very, very destructive" for raising interest rates too quickly.

Fed officials, who have denied that political pressure plays a role in their decisions, last week signalled they could cut interest rates in the coming months if the economy slows as a result of Trump's trade conflicts.

Large banks enjoyed a strong session, with Bank of America, Citigroup and Goldman Sachs all winning at least 2 percent as Treasury bond yields increased.

Most technology giants also won solid gains, with Apple, Amazon and Google-parent Alphabet all up more than 1 percent.

Raytheon advanced 0.7 percent while United Technologies dropped 3.1 percent after the two companies announced a merger that will create a behemoth American aeronautics and defence company. (AFP)