Wall Street rises as Trump holds out China trade hope, Companies & Markets News & Top Stories


NEW YORK (AFP) – Wall Street on Monday (Aug. 26) recovered from a chunk of last week's sharp losses with US President Donald Trump's rosy talk of a China trade deal.

During an economic summit in France, the president reversed himself yet again, telling reporters the United States and China were set to resume efforts to resolve their year-long trade war against some contradiction of Beijing.

The conflict suffered major escalations last week when Trump said the United States did not need a deal, said it.

The Dow Jones Industrial Average benchmark gained just over 1.0 per cent at 25.898.83, while the broader S & P 500 gained 1.1 per cent to close at 2.878.38.

The tech-heavy Nasdaq jumped 1.3 per cent, settling at 7,853.74.

Despite the gains at the beginning of the week, all the indexes are still on track.

"Considering the magnitude of the loss on Friday, the rally is a very mild one," Peter Cardillo of Capital Spartan told AFP.

"There's still a lot of uncertainties." Trade-exposed companies posted earnings, with iPhone maker Apple rising 1.9 percent.

Meanwhile, drug maker Pink Celgene 3.2 per cent on it's selling its psoriasis drug Otezla to Amgen to clear the way for Celgene's acquisition by Bristol-Myers Squibb.

Shares in Amgen and Bristol Myers Squibb also rose 3.2 per cent and 3.4 per cent respectively.

Healthcare giant Johnson & Johnson gained 0.8 per cent, before an Oklahoma judge ordered the company to pay US $ 572 million (S $ 793 million) for its role in the opioid addiction crisis. The stock shot up in after-hours trading.

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