(Reuters) – Global stocks scaled five-week highs Monday on hopes that more government stimulus would come and that the world economy was on the mend, while the Chinese yuan retreated from a 17-month high after a policy move over the weekend. Investor optimism that Washington will work through talks that have repeatedly stalled to deliver another round of fiscal stimulus drove major U.S. stock indices to highs last seen in early September. Hopes that the top Wall Street banks will announce a decent set of third-quarter earnings this week that show business was not as weak as feared also helped, while excitement over an expected debut of Apple Inc’s latest iPhone on Tuesday buoyed technology stocks. Slugged by stronger investor demand for risk, the U.S. dollar was pinned near a three-week low and gold, another safe-haven asset, stayed below a three-week high. The U.S. bond market is closed on Monday for Columbus Day. The cheer over the economic outlook and government stimulus did not boost oil prices, which dropped as investors focused on a boost in supply. The S&P 500 jumped 57 points, or 1.64%, to 3,534.22, within spitting distance of its record high of 3,580.84 struck on Sept. 2. The Dow Jones Industrial Average climbed 250 points, or 0.88%, to 28,837.52.

Shares in Apple surged 6.4% while those in Amazon rallied 4.8% ahead of its Prime Day shopping event on Oct. 13 and 14. That helped the Nasdaq Composite to stage its biggest one-day rally in a month, jumping 296 points, or 2.56%, to 11,876.26.

“The market leaders are once again the tech names, supported by the fact that the economy continues to expand,” said Phil Blancato, chief executive of Ladenburg Thalmann Asset Management in New York. MSCI’s gauge of stocks across the globe climbed 1.43% to 592.96, a

(RTTNews) – Stocks moved sharply higher during trading on Monday, extending the strong upward move seen over the past few sessions. The continued advance once again lifted the major averages to their best closing levels in over a month.

The major averages gave back some ground in the latter part of the trading day but remained firmly positive. The Dow advanced 250.62 points or 0.9 percent to 28,837.52, the Nasdaq spiked 296.32 points or 2.6 percent to 11,876.26 and the S&P 500 jumped 57.09 points or 1.6 percent to 3,534.22.

Technology stocks helped to lead the markets higher, as reflected by the significant advance by the tech-heavy Nasdaq.

Apple (AAPL) posted a standout gain, surging up by 6.4 percent, while Facebook (FB) and Google parent Alphabet (GOOGL) also moved notably higher.

Shares of Twitter (TWTR) also showed a strong move to the upside after Deutsche Bank upgraded its rating on the social media giant to Buy from Hold.

The markets also continued to benefit from optimism about a new stimulus bill even though House Speaker Nancy Pelosi said talks will “remain at an impasse” until “serious issues” with the Trump administration’s latest proposal are resolved.

The White House has increased its offer to $1.8 billion in its latest proposal, but Pelosi still called the administration’s proposed bill “grossly inadequate.”

“The news is filled with the numbers in terms of dollars. The heart of the matter is: can we allow the virus to rage on and ignore science as the Administration proposes, or will they accept the scientific strategic plan in the Heroes Act to crush the virus,” Pelosi said in a letter to her Democratic colleagues.

“We have other differences in terms of who benefits from the spending,” she added. “But in terms of addressing testing, tracing and treatment, what

Investors focused on the Finance space have likely heard of American Tower Corporation REIT (AMT), but is the stock performing well in comparison to the rest of its sector peers? One simple way to answer this question is to take a look at the year-to-date performance of AMT and the rest of the Finance group’s stocks.

American Tower Corporation REIT is one of 901 individual stocks in the Finance sector. Collectively, these companies sit at #14 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. AMT is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for AMT’s full-year earnings has moved 0.35% higher within the past quarter. This is a sign of improving analyst sentiment and a positive earnings outlook trend.

Based on the latest available data, AMT has gained about 6.47% so far this year. In comparison, Finance companies have returned an average of -13.39%. This shows that American Tower Corporation REIT is outperforming its peers so far this year.

Looking more specifically, AMT belongs to the REIT and Equity Trust – Other industry, a group that includes 119 individual stocks and currently sits at #213 in the Zacks Industry Rank. This group has lost an average of 2.82% so far this year, so AMT is performing better in this area.

Investors in the Finance sector will want to keep a close eye on AMT as it attempts to continue

The third-quarter reporting cycle is finally here. PACCAR Inc. PCAR is set to kick off the earnings season for the Auto-Tires-Trucks sector next week.

Per the Oct 9 Earnings Preview, the auto sector’s earnings tanked 123.5% on a 49.7% revenue slump during the second quarter. However, things seem to be gradually looking up for the sector. While earnings and revenues are expected to have declined in the September-end quarter as well, these declines are likely to be less severe. In the third quarter, overall earnings and revenues for the sector are projected to fall 35.1% and 4.8%, year over year.

Dismal Q2 Performance

The coronavirus outbreak hit the auto industry hard in the latter half of the first quarter and the second quarter. The pandemic hurt the industry significantly amid factory closures, low footfall at dealerships and supply-chain distortions. Depressed demand of vehicles amid waning consumer confidence has dented the margins of most automakers across the globe. Amid the coronavirus crisis-induced lockdown, with thousands of people working from homes, consumers had put off big-ticket purchases like cars, causing the global auto sales to plummet during the April-June period.

Per the S&P Global Market Intelligence analysis, U.S. auto sales plunged 33.3% year over year in the second quarter, with the overall non-seasonally adjusted U.S. vehicle sales for the period summing up to 2.95 million units, down from the 2019 figure of 4.42 million units. Notably, vehicle sales from each of the Detroit 3 carmakers — Ford, General Motors and Fiat Chrysler — dropped year over year during the June-end quarter.

U.S. Auto Industry Gathered Momentum in Q3

The pandemic has significantly transformed the auto industry. With social distancing becoming the new normal, people are avoiding public transportation, which makes private transportation the need of the hour. Remarkably, U.S. auto sales are

(Bloomberg) —

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U.S. stocks climbed to an almost six-week high amid a rally in giant technology companies as traders awaited earnings from banks and news on a fresh round of economic stimulus.

The S&P 500 extended gains into a fourth day, while the NYSE FANG+ Index of megacap tech shares rose 2.2%. Amazon.com Inc. surged before its Prime Day event, Apple Inc. jumped as its price target was raised by RBC Capital Markets while Twitter Inc. rallied after Deutsche Bank recommended buying the stock. As lenders including JPMorgan Chase & Co. and Wells Fargo & Co. report their results this week, analysts expect a slight uptick in net charge-offs with some loans souring. Energy shares underperformed as oil sank below $40 a barrel. The Treasury market is closed for a U.S. holiday.

Prospects for another round of fiscal spending remain highly unsettled after President Donald Trump pulled out of talks on Oct. 6, hours after Federal Reserve Chairman Jerome Powell urged lawmakers err on the side of doing more rather than less to help the economy heal from Covid-19. The White House subsequently proposed a new $1.8 trillion stimulus package, with Trump himself saying he wanted to go even further, and negotiations with Democrats are expected to continue this week.



chart: S&P 500 climbs to highest level since early September


© Bloomberg
S&P 500 climbs to highest level since early September

“The stimulus stalemate still looms large, though it failed to derail the market,” said Chris Larkin, managing director of trading and investment product at E*Trade Financial. “And with high expectations for big-bank earnings kicking off the season, we could get a clearer picture into just how far we’ve come in terms of economic recovery.”

U.S. voters are getting their first close look at Judge Amy Coney Barrett in hearings that began Monday and are all but certain