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Stocks Soar as Trump, Xi Ready to Meet

AAPL

Stocks surged on Tuesday after President Donald Trump said he will be meeting with his Chinese counterpart, Xi Jinping, at the upcoming G-20 summit, boosting hope for a U.S.-China trade deal.

The Dow Jones Industrial Average traveled 292.6 points, or 1.1%, higher to begin Tuesday at 26,405.13, as Apple and Boeing outperformed.

The S&P 500 gained 32.58 points, or 1.1%, at 2,922.25. The S&P 500 also traded within 1% of its all-time intraday high of 2,954.13, which was reached May 1.

The NASDAQ Composite took on 137.34 points, or 1.8%, to 7,982.37

Boeing rose 1.5%, and Caterpillar shares picked up 3.1%. Both are trade bellwethers. Deere shares also gained more than 3%. Semiconductor stocks jumped on Trump's tweet, led by 4% gains from Nvidia and Micron Technology.

Stocks also got a boost as investors bet the Federal Reserve will set the stage for more accommodative monetary policy at this week's meeting.

The Fed's decision is scheduled to be announced Wednesday at 2 p.m. ET.

Trump said in a tweet he “had a very good telephone conversation ” with Xi. He added: “We will be having an extended meeting next week at the G-20 in Japan. Our respective teams will begin talks prior to our meeting.” The summit will start on June 28.

Prices for the benchmark 10-year U.S. Treasury gained, driving down yields to 2.07% from Monday's 2.09%. Treasury prices and yields move in opposite directions.

Oil prices hiked $1.22 to $53.29 U.S. a barrel.

Gold prices ballooned $3.60 at $1,346.50 U.S. an ounce.



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