Tech rally drives US stock gains, Treasury yields edge higher

Bloomberg

US stocks were lifted by a rally in tech shares as concerns about a potential global trade war eased. Treasury yields edged higher and oil rallied.
The S&P 500 was slightly higher after paring an early advance, while the Dow Jones Industrial Average slipped a seventh straight day. The Nasdaq Composite Index added to an all-time high, buoyed by tech shares perceived to be immune from any trade dustup. European equities halted a three-day slide and Canada’s stock benchmark hit a record. The pound edged higher after Prime Minister Theresa May won a key vote on Brexit.
A sense of calm is returning to markets after President Donald Trump stepped up trade threats against China earlier in the week, proposing moves that economists reckon could cut as much as half a percentage point from the Asian nation’s growth.
Traders may well be siding with Goldman Sachs Chief Executive Officer Lloyd Blankfein, who characterised the escalation in rhetoric as simply a negotiating strategy.
Elsewhere, the onshore yuan climbed after the People’s Bank of China set its daily reference rate at a stronger-than-expected level.
Mario Draghi, Reserve Bank of Australia Governor Philip Lowe, Bank of Japan Governor Haruhiko Kuroda, and Fed Chairman Jerome Powell join a panel on central bank policy in Sintra, Portugal, on Wednesday. A Brazilian central bank decision was due on Wednesday. The Bank of England sets rates on Thursday. Also on Thursday: US jobless claims, New Zealand GDP, South Korea export data. The Organization of Petroleum Exporting Countries meets in Vienna on Friday.
The S&P 500 rose 0.1 percent in New York. The Stoxx Europe 600 Index climbed 0.4 percent. The UK’s FTSE 100 Index rose 0.5 percent. The MSCI Emerging Market Index climbed 0.6 percent.
The Bloomberg Dollar Spot Index fell 0.1 percent. The euro slipped 0.1 percent to $1.1582. The British pound rose 0.1 percent to $1.3189. The Japanese yen was little changed at 110.04 per dollar.
The yield on 10-year Treasuries rose less than one basis point to 2.9 percent. Germany’s 10-year yield was little changed at 0.37 percent. Britain’s 10-year yield rose one basis point to 1.29 percent.
West Texas Intermediate crude rose 1.1 percent to $65.75 a barrel. Gold was little changed at $1,274.99 an ounce, near the weakest in six months.