Extending their previous session’s gains, the US markets ended higher on Thursday after President Donald Trump revealed that he plans to meet with Chinese Vice Premier Liu He as part of high-level US-China trade talks. The said from Trump offset concerns generated by reports suggesting Liu could leave Washington earlier than originally planned. Adding to the positive sentiment, Liu said the Chinese delegation has come to the talks with great sincerity and is willing to make serious exchanges with the US on issues of common concern. Liu said on the basis of equality and mutual respect, China is willing to reach consensus with the US through this round of consultations on issues of mutual concern to prevent further escalation and spread of friction.
On the economic front, consumer prices in the US were essentially flat in the month of September, according to a report released by the Labor Department, with higher prices for shelter and food offset by declines in prices for energy and used cars and trucks. The Labor Department said its consumer price index was unchanged in September after inching up by 0.1 percent in August. Street had expected another 0.1 percent uptick. Energy prices extended the steep drop seen in the previous month, tumbling by 1.4 percent in September after plunging by 1.9 percent in August. Gasoline prices led the way lower once again. Besides, a report released by the Labor Department showed a modest decrease in first-time claims for US unemployment benefits in the week ended October 5. The report said initial jobless claims dropped to 210,000, a decrease of 10,000 from the previous week's revised level of 220,000. Street had expected jobless claims to come in unchanged compared to the 219,000 originally reported for the previous week.
Dow Jones Industrial Average surged 150.66 points or 0.57 percent to 26496.67, Nasdaq rose 47.04 points or 0.60 percent to 7950.78 and S&P 500 was up by 18.73 points or 0.64 percent to 2938.13.
