Wall St. Gains as Earnings Cheer Traders – New York Times

Wall Street closed higher on Wednesday, led by gains in technology companies after Microsoft reported surprisingly strong results.

KEEPING SCORE The Dow Jones industrial average closed 0.2 percent higher, at 18,595.03, and the Standard & Poor's 500-stock index gained 0.4 percent, to 2,173.02. The Nasdaq composite index added 1.1 percent, to 5,089.93.

CLOUD COVER Microsoft shares rose 5.3 percent. The company said it returned to a profit in its fiscal fourth quarter after reporting a loss a year earlier. Its earnings topped analysts' expectations, and the company credited momentum in its cloud-computing business. Microsoft's surge helped the technology sector rise 1 percent, much more than the rest of the market.

BIGGEST GAIN Cintas was a top-performing stock in the S.&P. 500 after the company reported quarterly results that beat Wall Street's forecasts. Shares of the company, which provides uniforms, restroom supplies and other products for offices, were up 9.7 percent.

CLOSE BEHIND Intuitive Surgical was also performing well after the company's revenue and earnings per share topped analysts' expectations. Shares of Intuitive, a maker of robot-assisted surgical systems, rose 4.5 percent.

A LOW BAR Analysts came into this earnings reporting season with low expectations, forecasting about a 5 percent drop for S.&P. 500 companies from a year earlier. That has made it easier for companies to exceed forecasts.

Several reports on the American economy have also come in better than expected in recent weeks, which has helped stock indexes reach new highs. The S.&P. 500 has gained more than 8 percent since hitting a low on June 27, four days after Britain voted to leave the European Union. The Dow has risen for eight consecutive days, its longest streak in three years.

NO FEAR Calm in the markets meant less demand for gold and Treasury bills, traditional go-to investments during periods of fear. The price of gold fell $ 17.40, or 1.3 percent, to $ 1,314.90 an ounce. The yield on the 10-year Treasury note, which moves in the opposite direction from its price, rose to 1.59 percent from 1.56 percent late Tuesday.

The VIX, an index that measures investors' expectations of future volatility in the stock market, fell 2.8 percent and is close to its lowest level since 2014.

OIL Benchmark United States crude oil gained 49 cents, to $ 45.14 a barrel, on the New York Mercantile Exchange. Brent crude, the standard for oil sold internationally, was up 82 cents, to $ 47.47 a barrel, in London.

EUROPEAN MARKETS In Germany, the DAX closed up 1.6 percent, and in France, the CAC 40 advanced 1.2 percent. The FTSE 100 gained 0.5 percent in Britain.

ASIA'S DAY The Nikkei 225 declined 0.3 percent in Japan, while in Hong Kong, the Hang Seng gained 1 percent. The Kospi was down 0.1 percent in South Korea. In Australia, the S.&P./ASX 200 gained 0.7 percent. Stocks in mainland China and Taiwan were lower, but indexes were higher in Indonesia and Singapore.

CURRENCIES The euro fell to $ 1.1005 from $ 1.1015 late Tuesday, and the British pound rose to $ 1.3174 from $ 1.3093. The dollar rose to 106.69 Japanese yen from 106.09 yen.

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