The New York Stock Exchange lifted the S & P 500 Index to an unprecedented level Monday, at the start of a week rich in economic events between a meeting of the US central bank and an abundance of business results and indicators .
The index considered by investors as the most representative appreciated by 0.56% to end at 3,039.42 points.
The Dow Jones Industrial Average, for its part, gained 0.49% to finish at 27,090.72 points while the Nasdaq, with strong technological color, rose by 1.01% to 8,325.99 points.
The clues were helped by positive signals sent by both Beijing and Washington on the trade talks, with China confirming Saturday that talks were on track and the US president hinted on Monday that signing a deal could come before the Pacific Rim Association (APEC) summit in mid-November.
They have also been supported, according to LBBW's Karl Haeling, by the new Brexit developments, with the European Union giving the go-ahead for a postponement of the UK's exit as well as automatic purchases when the S & P 500 has exceeded in session his previous record.
But, more generally, “the market seems to be saying that the combination of more accommodative monetary policies around the world, and primarily in the United States, with progress towards a trade agreement that at least avoids further rise in tariffs could allow the world economy to stabilize, “he said.
“This is a sharp contrast to this summer, when investors feared a sudden recession,” he adds.
This reversal of trend was also seen on the bond market where the yield on the 10-year rate on US debt rose to 20:25 GMT of 1.842% against 1.794% Friday at the close, a sign that this asset, generally considered a safe haven , is less popular.
Investors will be particularly attentive in the coming days to the meeting of the Monetary Policy Committee of the Federal Reserve (Fed), Tuesday and Wednesday. Virtually all market participants expect the US central bank to lower interest rates for the third time this year to support activity weakened by the trade war.
– First space company on Wall Street –
The earnings season also remains in their sights, with the telephone operator AT & T (+ 4.28%) and the pharmacy chain Walgreens Boots Alliance (+ 0.69%) being well received Monday.
Brokers will also have to digest this week many leading indicators on the health of the US economy, including the Gross Domestic Product third quarter Wednesday and the monthly employment report Friday.
The session was also marked Monday by the arrival at the New York Stock Exchange Virgin Galactic, the only company dedicated to travel in space to be listed on the stock market.
The title of the company founded by Richard Branson, dressed for the occasion of a spacesuit, took off in the first exchanges before ending down 0.34%.
Jewelery maker Tiffany jumped 31.63% to 129.72 dollars, while the French luxury group LVMH confirmed Monday made an offer – estimated at 14.5 billion dollars, which corresponds to 120 dollars per action.
Apple, which introduced a new model of AirPods earphones meant to further reduce external noise, gained 1.00%.
General Motors has risen 0.55% while members of the UAW union have approved Friday a wage agreement that ends the longest strike at the car manufacturer for 50 years.
The union was scheduled to begin negotiations with Ford (-0.27) on Monday, and then continue with Fiat Chrysler (+ 0.76%).
Microsoft gained 2.46% after the Pentagon awarded Friday a giant $ 10 billion online data storage (cloud) contract for which Amazon (+ 0.89%) was considered a favorite.
The online music platform Spotify jumped 16.17% after posting a quarterly profit and reported a significant increase in the number of paying subscribers.