Strong earnings from Boeing, Apple and other companies assisted in nudging the US stocks higher in midday trading.
According to ABC News the Dow Jones Industrial Average climbed 0.4% or 63 points to 17,450 while the standard & poor 500 gained 0.2% or 3 points to 2,032. The Nasdaq Composite gained 0.4% or 19 points to 4,700. After closing lower on Tuesday, the indexes are now on the rebound.
The Federal Reserve is ending its first policy meeting in the afternoon, and it is widely expected to repeat its pledge of remaining patient before raising interest rates from record lows.
Investors want to know if the statement from the Fed will include a reference to increased concerns about global growth.
Quincy Krosby, market strategist at Prudential Financial said, “If they put that in there and you have more of this worry over currencies and so on, then perhaps the Fed will be patient even longer than the market expects. It’s not a question of if the Fed raises rates, it’s when.”
The Wall Street Journal reported that Apple Inc gained 6.6% after a staggering demand for iPhones assisted the company to beat some of the most bullish forecasts on Wall Street.
Head of sales trading at ITG, Brian Fenske said, “Apple put up very strong number which is good following a day that was a relative bloodbath.”
Boeing Co. climbed 4.8% after posting its quarterly results, which were better than expected.
AT&T Inc climbed 0.9% after Q4 earnings and sales beat expectations of Wall Street narrowly.
Yahoo Inc. rose 1.6% after it announced it would spin off tax-free its holdings in Alibaba Group Holding Ltd.
Electronics Arts Inc. climbed 10% after the maker of video games reported strong results from the holiday season.
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