Major US stock indices closed in positive territory

Major US stocks rose significantly as US President Donald Trump said China wants to close a deal, signaling a potential de-escalation of trade tension between the two largest economies in the world.

Speaking to reporters at the G7 meeting in Biarritz in France on Monday, President Trump said that on Sunday evening, Chinese representatives called the US Department of Commerce and asked to return to the dialogue. “They were very badly hurt, but they understand that it’s right, and I really respect that. This is a very positive event for the whole world, ”Trump added.

During a joint press conference between President Trump and his French counterpart Macron, the head of the White House reiterated his view that China wants to enter into a trade deal with the United States, and believes that they are sincere in this desire. Meanwhile, Mr. Macron said Trump told the G7 leaders that he would like to conclude an agreement with China. He added that the sooner an agreement is reached, the faster the uncertainty will dissipate, and this is also the desire of the American president.

Investors also studied data from the Department of Commerce, which showed that orders for durable goods in the US grew in July much more than expected. According to the report, orders for durable goods rose 2.1% in July after a downward revision of 1.8% in June. Economists had expected orders to grow 1.1% from the 2% increase reported the previous month. However, with the exception of the jump in orders for transport equipment, orders for durable goods fell 0.4% in July after rising 0.8% in June. The rollback came as a surprise to economists, who expected that the number of orders for transport equipment would increase by 0.1%.

Most DOW components completed trading in positive territory (25 out of 30). Johnson & Johnson shares (JNJ; -0.30%) fell more than the rest. The biggest gainers were The Walt Disney Company (DIS; + 1.97%).

All S&P sectors recorded an increase. The consumer goods sector grew the most (+ 0.9%).

At the time of closing:

Dow 25,898.83 +269.93 +1.05%

S&P 500 2,878.39 +31.28 +1.10%

Nasdaq 100 7,853.74 +101.97 +1.32%