Dow Jones ahead into close
3M Company top riser on Dow
Fed chair job in focus
Caterpillar also supports gains
CLOSE
US stocks are higher into the close with the Dow Jones up a whopping 177 points.
The market is digesting a host of earnings reports and manufacturing data, which showed a pick-up in growth in manufacturing and services sectors.
The Dow is up 177.81 at 23,451, the S&P 500 gained 4.52 at 2,569.
The tech heavy Nasdaq is up 13.40 at 6,600, while in Toronto, the TSX is up48.38 at 15,904.
US crude is up 1.06% to stand at US$52.45 a barrel.
In politics, Arizona republican senator Jeff Flake has quit the post criticing President Trump and saying he (Flake) had "children and grandchildren to answer to".
"We must never regard as "normal" the regular and casual undermining of our democratic norms and ideals," he said.
He suggested there may not be a place for a Republican like him (Flake) in the current Republican climate or the current Republican Party.
MID-SESSION
US benchmarks are closer at mid-session as the FTSE 100 closed marginally higher in London.
The Dow Jones has resumed its record run and is up over 190 at 23,463.
The Nasdaq is also now higher - up 16.43 at 6,603.
The S&P 500 is up 4.81 at 2,569.
In Toronto, the TSX is up over 40 points at 15,896.
Data in the US showed a pick-up in growth in manufacturing and services sectors. The Fed is expected to keep interest rates unchanged next week but economists see a hike in December.
While no speeches are scheduled by the Fed for Tuesday, in focus is chatter on who will take on the role of Fed Chair in early 2018.
Currently, reportedly five people have been named as potential candidates, including the current Janet Yellen.
In equities, a notable mover on Nasdaq was Pain Therapeutics Inc (NASDAQ: PTIE), which shot up over 43% to US$5.35 each.
The group said a phase I clinical study for an Alzheimer's drug had been a success.
It was the first time the safety, dosing and pharmacokinetic profile of candidate PTI-125 had been tested in healthy human volunteers.
"The clinical data are encouraging,” said Remi Barbier, president and chief executive of Pain Therapeutics.
On the flipside, home appliances firm Whirlpool Corporation (NYSE:WHR) took a bath in pre-market trading after the group missed Wall Street’s forecasts with third quarter profits.
Underlying earnings per share came in at US$3.83, up from US$3.66 in the same period of last year but seven cents shy of the number investment analysts were expecting.
Shares sank 10.12% to US$ 164.06 each.
READ THE LONDON CLOSE - FTSE 100 closes near flat as traders look for direction; Dow Jones surges
OPEN
The Dow Jones raced up over 150 points at the open on Wall Street as the market digested a clutch more earnings. It was another record high.
Caterpillar (NYSE:CAT) supported, gaining almost 6% to US$139.40, while 3M CO shares (NYSE:MMM) also were higher, up 4.92% after the pair posted latest quarterly numbers.
The Dow, at the time of writing, is up 151 at 23,424, the Nasdaq is down 3.46 at 6,583.
The broader based S&P 500 is up 0.99 at 2,565.
In Toronto, the TSX is up over 52 points to stand at 15,908.
United Technologies Corp (NYSE:UTX), another Dow component, also reported better-than-expected results and shares gained 0.63% to US$121.63 in early deals.
Caterpillar shares gained ground after third quarter results beat market expectations.
At US$11.4bn, the big digger group reported a US$2bn increase in revenue compared to the same three months of the preceding year. The market had been expecting a figure of around US$10.6bn.
Quarterly profit for the period came in at US$1.77 per share, up from 48 cents in 2016 quarter and some way better than the US$1.27 per share anticipated by analysts.
Caterpillar told investors it anticipates US$6.25 earnings per share for the full year.
David Madden, analyst at London-based CMC Markets, said: "The Dow Jones notches up another all-time high as strong earnings for blue-chip stocks like 3M, Caterpillar and United Technologies helped the index reach another record higher.
He added: "These stocks are very popular with institutional investors, and are regarded as a good barometers for the state of the US economy."
"US manufacturing and services sectors are growing at a solid rate. In October the manufacturing reading was 54.5, and the services reading was 55.9, and analysts were expecting 53.3 and 55.2 respectively. Traders are will optimistic the Federal Reserve will hike rates in December."
Terrific Tuesday - Dow Blasts Higher on Caterpillar, 3M Earnings #Aramco #Oil $CAT $MMM #Silver #Futures -- https://t.co/93UxgrbgDI pic.twitter.com/dvQkjpa3r1
— Phil Davis (@philstockworld) 24 October 2017