The US stock market closed in positive territory for the third straight session in anticipation of a quick solution to the problem of raising the government borrowing limit, according to MarketWatch.
Senate Majority Leader Chuck Schumer announced that Republican and Democratic representatives in the Senate have reached an agreement to increase the national debt ceiling by $480 billion. This will allow the Ministry of Finance to continue funding government spending until early December.
US Treasury Secretary Janet Yellen has repeatedly warned congressmen that her department may run out of funds in mid-October if Congress does not increase the borrowing limit. US President Joe Biden on Wednesday also announced the need to urgently raise the government debt ceiling during a meeting at the White House with representatives of large banks and companies.
The news that Biden and President of the People’s Republic of China Xi Jinping are likely to hold working negotiations in a virtual format by the end of this year also had a positive impact on investor sentiment on Thursday.
The number of Americans who first applied for unemployment benefits fell 38,000 last week to 326,000, the Labor Department said. Analysts, on average, were expecting a decline of just 14,000, according to data from Trading Economics.
Dow Jones Grows
The Dow Jones Industrial Average on Thursday rose by 337.95 points (0.98%) – up to 34754.94 points. The value of Standard & Poor’s 500 increased during the day by 36.21 points (0.83%), amounting to 4399.76 points. Nasdaq Composite increased by 152.1 points (1.05%) – up to 14654.02 points.
Levi Strauss & Co. by the end of trading soared by 8.5%. The denim maker in its third financial quarter, which ended Aug. 29, increased revenue 41%, above analysts’ estimates. Rocket Lab USA Inc. jumped in price by 10.4% on the news that the company has signed an agreement with NASA.
Twitter (NYSE: TWTR), which owns the microblogging network of the same name, announced the sale of its ad monetization platform MoPub to US marketing software developer AppLovin Corp. for $ 1.05 billion. The value of Twitter rose 4.4%. In addition, Freeport-McMoRan Inc. (+ 8.2%) and Ford Motor (NYSE: F) (+ 5.5%) rose significantly in price.
Among the leaders in the growth of quotations among the Dow Jones components were shares of UnitedHealth Group (NYSE: UNH) (+ 2.7%), Dow Inc. (+ 2.4%) and Home Depot Inc (NYSE: HD). (+ 2.2%). At the same time, the securities of Salesforce.com (NYSE: CRM) Inc. fell in price. (-0.25%), 3M Co (NYSE: MMM). (-0.3%), International Business Machines (-0.4%) and Amgen (-0.4%).
Conagra Brands declined 0.75% by the end of the day after rising earlier in the day. Revenue of the manufacturer of ready-made food products in the last quarter decreased by 1%, but exceeded the expectations of experts.