NEW YORK, Feb. 7 (Xinhua) -- U.S. stocks ended higher on Wednesday, as investors digested a fresh inflow of quarterly earnings, with about two-thirds of S&P 500 company reports now in.
The Dow Jones Industrial Average rose 156.00 points, or 0.40 percent, to 38,677.36. The S&P 500 added 40.83 points, or 0.82 percent, to 4,995.06, nearing 5,000 for the first time ever. The Nasdaq Composite Index increased 147.65 points, or 0.95 percent, to 15,756.64.
Nine of the 11 primary S&P 500 sectors ended in green, with technology and consumer discretionary leading the gainers by adding 1.43 percent and 1.13 percent, respectively. Meanwhile, consumer staples and real estate led the laggards by dropping 0.08 percent and 0.06 percent, respectively.
Investors were digesting earnings from CVS Health, Uber, and Roblox on Wednesday, while Disney and PayPal were due to report after the stock market closes. Earnings results have on average beaten Wall Street expectations.
"It's earnings driven, but it's bleeding over into other companies that may not have announced," said Kim Forrest, Bokeh Capital's chief investment officer. "They're getting swept on the coattails. Some of what we're experiencing this year is people don't want to be left behind like they were last year."
Investors currently expect the Federal Reserve to start cutting rates in May, according to the CME Group's FedWatch Tool. "In all honesty, my forecast is uncertain. That's why I think it's a reasonable idea to be patient," Richmond Fed President Tom Barkin said Wednesday.
"I could tell you a story of a healthy economy and softening inflation, but I could tell you a bunch of other stories. I'm more in the world of elevated uncertainty," He said, adding the forecast he had eight weeks ago has been "confused" by some of the recent data.
Boston Fed President Susan Collins also said that rate cuts could come "later this year," but first the central bank needs to see more evidence of inflation cooling. ■
