S&P 500 was up 24 at 2,453
Dow Jones was up 196 at 21,900
Salesforce.com and Intuit both ease back in after-hours trading following earnings updates
Buyers returned in force to the market on Tuesday, pushing the major benchmarks sharply higher.
The big get-together of central bankers in Jackson Hole is set to start on Friday but investors had had enough of hanging around waiting for cryptic comments from power brokers and piled back into the market.
The Dow Jones industrial average fell just short of a double-ton gain, rising 196 to 21,900, while the broader-based S&P 500 climbed 24 points to 2,453.
The Nasdaq Composite snapped its losing streak, rising 84 points to 6,297.
Across the border, Canada's S&P/TSC Composite joined the party, rising 33 points to 14,985.
“The buyers have come back in, with fresh hope of moves on US tax reform apparently providing the catalyst for gains. Warm words from Senate leader McConnell on the debt ceiling are also helping to boost confidence,” opined Chris Beauchamp at spread-betting firm IG.
“Perhaps this time we will see stock markets extend their gains into a second day; optimism surrounding Jackson Hole and potential comments on monetary policy from the dynamic duo of Draghi and Yellen could see Wednesday post a positive session as well,” he speculated.
After the market close, results came in from Salesforce.com Inc (NYSE:CRM) and Intuit Inc (NASDAQ:INTU), and both mildly disappointed.
Customer relations management software giant Salesforce saw its shares dip 0.6% in after-hours trading to US$92,43, despite a rise in second quarter earnings per share to 33 cents, versus 24 cents the year before and the Street's expectations of 32 cents.
Accountancy software leviathan Intuit eased 0.9% in screen-based trading to US$136.91 despite earnings per share of 20 cents beating the consensus forecast by three cents.
Mid-session: Stocks consolidate early gains
Leading shares extended gains in the lunchtime session.
The S&P 500 was up 21 at 2,449 and the Dow Jones was up 166 at 21,870, putting the latter on course for its best single day gain in almost four months.
All but four of the Dow's constituents were in positive territory – even Chevron Corp (NYSE:CVX), where reports are circulating that chief executive John Watson intends to step down.
Among the minnows, cash-strapped Root9B Holdings Inc (NASDAQ:RTNB) was comfortably the top gainer, soaring 1425 to US$3.05, adding to yesterday's gains.
It has received a foreclosure notice from Centriole Reinsurance Company, which is acting as an agent for root9B's creditors, and as a result the technology company's assets are to be put up for auction.
Open: Stocks off to a flying start
It was a case of “glad, confident morning” at the outset as stocks got off to a flying start.
The S&P 500 was up 14 at 2,442 and the Dow Jones 30-share was up 112 at 21,816, as bargain hunters returned to the market after the recent shake-out.
Even the Nasdaq Composite, which has fallen four days in a row, was in credit, with a 46 point gain at 6,259.
On the NYSE, footwear retailer DSW Inc (NYSE:DSW) was the top-performing domestic stock, shooting up 21% to US$18.90 after it returned to sales growth in the second quarter.
READ Shoes seller DSW shows impressive turn of foot after returning to sales growth
Investors tucked into struggling restaurants group Ruby Tuesday Inc (NYSE:RT) after it reported a 1.6% year-on-year decline in like-for-like sales in the final quarter of its financial year, which represented a big improvement on the 4.0% fall seen in the previous quarter.
“Additionally, we reported adjusted net income for the fourth quarter following three quarters of adjusted net losses, as we have stemmed the decline in our top-line while controlling expenses,” declared Jim Hyatt, who is president and also chief executive officer of Ruby Tuesday.
“Looking ahead to fiscal 2018, we expect to achieve year-over-year improvement in restaurant level margins and EBITDA as we execute our new ‘Plan to Win’ strategy,” he added.
The shares were up 7.7% at US$1.98 in early deals.
Going the other way was mobile internet company Cheetah Mobile Inc (NYSE:CMCM) after its second quarter figures disappointed.
The Chinese company said total revenues rose 14.8% from a year earlier to US$177.2mln. Adjusted earnings per share clocked in at nine cents.