US stocks trade higher as trade worries ease

US stocks trade higher as trade worries ease
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New York: US stocks traded higher as investor sentiment was boosted by an easing of trade tensions between China and the US.

The Dow Jones Industrial Average on Monday jumped 281.75 points, or 1.20 per cent, to 24,996.84. The S&P 500 gained 17.65 points, or 0.65 per cent, to 2,730.62, Xinhua news agency reported.

The Nasdaq Composite Index rose 34.52 points, or 0.47 per cent, to 7,388.86.

China and the US issued a joint statement over the weekend, vowing not to launch a trade war against each other.

US Treasury Secretary Steven Mnuchin said on Sunday that the US and China had reached a deal on a “very important” framework concerning their economic and trade ties, and the two sides had agreed to put a possible trade war on hold.

He added that the two sides would continue with their communications on trade issues.

Analysts said easing US-China trade tensions would likely help chipmakers’ stocks the most.

On the economic front, led by improvements in production-related indicators, the Chicago Fed National Activity Index rose from 0.32 in March to 0.34 in April, beating market consensus.

IANS