Investing.com – Stocks shot up Thursday on hints that China wants to reduce the tension in its trade fight with the United States.
The major averages enjoyed their biggest one-day gains in about two weeks as investors and the algorithms that run the buying and selling programs for many big investment houses hit their buy buttons.
The S&P 500 rose 1.27%. The Dow Jones industrials climbed 1.25%, and the Nasdaq Composite added 1.48%. The Nasdaq 100 index added 1.51%.
The Dow's 326-point gain was its best one-day point gain since Aug. 13.
Gainers overwhelmingly outnumbered losers, with industrial, tech, financial and energy stocks enjoying the biggest gains.
Caterpillar (NYSE:CAT), exposed to global trade currents, rose 2.5% to lead the Dow. Dollar General (NYSE:DG) was the top S&P 500 stock. Best Buy (NYSE:BBY), which gets many of its electronic products from China, was among the biggest laggards.
Interest rates were higher, with the 10-Year yield rising to 1.506% from Wednesday's 1.468%. The yield was still lower than the yield on the 2-year note, but the 10-2 Year Treasury Yield Spread narrowed to 2.76 basis points from Wednesday's 3.22 basis points.