US stock indices edge to records for 2nd straight session

New York, April 29 :Leading US stock indices edged to records on Monday for the second straight session, gaining on strong consumer data ahead of major earnings reports later in the week.

The S&P 500 advanced 0.1 percent to 2,943.03, while the tech-rich Nasdaq Composite Index climbed 0.2 percent to 8,161.85. Both are record highs.

The Dow Jones Industrial Average added less than 0.1 percent, rising to 26,554.39.

The small rise in stock prices comes a day before the Federal Reserve is due to meet for its latest policy meeting, with markets overwhelmingly expecting the central bank to leave interest rates untouched, something that has contributed to the good mood among investors.

With nearly half the companies in the S&P 500 having already reported, companies are reporting earnings that are on average 5.3 percent above analyst estimates, a figure above the five-year average, said a report from FactSet.

The group of mostly solid results has reassured investors who had been girding for weaker earnings.

Major companies reporting this week includes Apple, General Motors and Pfizer.

Sentiment was lifted further by Commerce Department data on consumption that showed a March leap in spending, marking a recovery from a weak start to 2019.

Banks such as JPMorgan Chase, Bank of America and Goldman Sachs all gained more than one percent as the yield on the 10-year US Treasury bond climbed.

Boeing dropped 0.5 percent after overcoming shareholder proposals that would rein in company leaders following two crashes that have grounded the 737 MAX plane.

But the company faced fresh questions following revelations the company deactivated a malfunction signal on 737 MAX planes owned by Southwest without telling the carrier, a feature that would detect a sensor error of the kind thought to have been a factor in both crashes.

(AFP/APP)