US shares higher into close
Dow Jones up 170pts
Markets remember 'Black Monday'
US benchmarks are higher into the close as traders digest the Beige Book Fed analysis.
The central bank said the pace of growth in the USA was split between modest and moderate in its latest snapshot, and it is still on course for a rate rise by December.
The Dow Jones continued its record ascent, up 170 points at 23,167.
The S&P 500 is up 3.61 at 2,562 and the Nasdaq is up 6.32 at 6,624.
In Toronto, the largest index there - the TSX was down over ten points at 15,806.
US crude - West Texas Intermediate - is up 0.31% to US$52.04 a barrel.
IBM (NYSE:IBM) was the stock riser and story of the day, adding 9.10% to US$159.92 after it posted quarterly results.
Oil major Chevron Corp (NYSE:CCX) dropped 1.79% to US$118.07. Earlier, a fire at one of the firm's refinery in El Segundo, California, was put out.
MID-SESSION
US shares are still higher at mid-session as traders await the Fed beige book and the US dollar strengthened.
The book, published eight times a year, is more formally known as the summary of commentary on current economic conditions by Federal reserve district, and is closely watched for hints of forthcoming Fed activity
The US dollar is up 0.175 against the Euro, but down a tad - 0.03% - against the UK pound.
The Dow Jones is flying today, up 160 points and well over the 23,000 level, at 23,158.
The Nasdaq is up over ten at 6,633, while the S&P 500 is up 4.45 at 2,563.
But as investors learned 30 years ago, markets can shift quickly. On October 19, 1987, on Black Monday, the S&P 500 plummeted 20.5% to wipe out what had been sizeable gains for the year.
The same thing is not predicted for tomorrow, but there are still lingering worries below the surface, despite the global economy improving and corporate profit rising.
In stocks, on the losing front Allergan plc (NYSE:AGN) shares lost 4.31% to US189.25 after Edward Jones, before the opening bell, downgraded the shares to 'hold' from 'buy'.
OPEN
Tech titan IBM threw its weight behind a US stock rally on Wednesday as major benchmarks went higher but the Nasdaq dropped.
Shares in IBM (NYSE:IBM) shot up 8.26% in early deals to US$ 158.68 after it topped expectations last night when it released third quarter earnings.
Net income of US$2.73bn was equivalent to US$2.92 a share, down from US$2.98 a share the year before but better than the US$2.84 the market had been expecting.
Revenue dipped to US$19.15bn from US$19.23bn the previous year but was comfortably ahead of Wall Street’s consensus forecast of US$18.61bn.
On Wall Street today, the Dow Jones is up 118 at 23,115 - a new record, while the S&P500 added 2.50 at 2,561 and the Nasdaq dropped 1.81 at 6.621.
Also ahead was Anthem Inc (NYSE:ANTM), which gained 4.70% to around US$196.
The health insurer is to set up its own pharmacy benefits manager, IngenioRx, ending a deal with Express Scripts Holding following a dispute over the terms of their contract.
Anthem has claimed that Express Scripts overcharged the company by US$3bn annually through unfavourable prices.
After the 10-year contract with Express Scripts expires in 2019, it plans to instead use its own pharmacy benefits manager, called IngenioRx, to provide services to Anthem health plans and non-Anthem customers.
Dow surges 100 points through 23,000 as IBM shares jump https://t.co/PcWxJStfTq pic.twitter.com/LT2pPMIPmB
— CNBC Now (@CNBCnow) 18 October 2017