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US STOCKS-Wall St higher as trade war fears ease

US STOCKS-Wall St higher as trade war fears ease
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* Ten of 11 S&P sectors up; energy stocks lead gains

* Facebook CEO to testify before U.S. lawmakers

* Indexes up: Dow 1.58 pct, S&P 1.45 pct, Nasdaq 1.55 pct (Adds quote, updates prices)

April 10 (Reuters) – U.S. stocks were higher on Tuesday asinvestor concerns about rising U.S.-China trade tension easedafter Chinese President Xi Jinping promised to cut importtariffs.

The three main indexes, however, were off their sessionhighs as investors locked in some gains ahead of the start ofthe earnings season this week.

Nine of the 11 major S&P sectors were higher, with theenergy index .SPNY adding more than 3 percent as oil brokeabove $70 a barrel.

“The markets are saturated and it is a bit of profit takingas the markets get set for the most anticipated financialearnings this Friday,” said Andre Bakhos, managing director atNew Vines Capital LLC in Bernardsville.

U.S. stocks will face a major test in coming weeks asfirst-quarter earnings pour in. JPMorgan ChaseJPM.N ,CitigroupC.N and Wells FargoWFC.N will kick off theearnings season on Friday. urn:newsml:reuters.com:*:nL2N1RH25I

Analysts expect quarterly profits for S&P 500 companies torise 18.5 percent from a year ago, which would be the biggestgain in seven years, according to Thomson Reuters I/B/E/S.

At 13:11 a.m. ET, the Dow Jones Industrial Average .DJI was up 379.35 points, or 1.58 percent, at 24,358.45, and the S&P500 .SPX was up 37.97 points, or 1.45 percent, at 2,651.13.The Nasdaq Composite .IXIC was up 107.63 points, or 1.55percent, at 7,057.97.

Xi said China will sharply widen market access for foreigninvestors, a point of contention for U.S. President DonaldTrump’s administration. urn:newsml:reuters.com:*:nL3N1RN2MF

His comments buoyed global markets, which have been underpressure as China and the United States threatened each otherwith billions in tariffs and investors feared that protectionistmeasures would hit global economic growth.

“What you are seeing in the market is an alleviation oftrade war fears and people trying to get back in and repositionthemselves for what they hope – no trade war,” said RobertPavlik, chief investment strategist and senior portfolio managerat SlateStone Wealth LLC in New York.

The so-called FANG stocks – Facebook IncFB.O , Amazon.comAMZN.O , Netflix IncNFLX.O and Alphabet Inc’sGoogleGOOGL.O – gave up most of their gains and were up between 0.5percent and 1.3 percent ahead of Facebook CEO Mark Zuckerberg’stestimony before U.S. lawmakers on Tuesday and Wednesday.

Zuckerberg is expected to strike a conciliatory tone in anattempt to blunt possible regulatory fallout from the privacyscandal engulfing his social network. urn:newsml:reuters.com:*:nL1N1RM1FI

SprintS.N shares jumped 18 percent after reports that thecompany had restarted merger talks with T-Mobile US IncTMUS.O . urn:newsml:reuters.com:*:nL3N1RN59D

Advancing issues outnumbered decliners on the NYSE for a3.68-to-1 ratio on the upside and on the Nasdaq for a 3.84-to-1ratio favoring advancers.

The S&P 500 index showed six new 52-week highs and one newlows, while the Nasdaq recorded 40 new highs and 26 new lows. (Reporting by Sweta Singh in Bengaluru; Additional reporting byDiptendu Lahiri; Editing by Arun Koyyur and SaumyadebChakrabarty) ((sweta.singh@thomsonreuters.com; within U.S. +1 646 223 8780,outside U.S +91 80 6749 6125; Reuters Messaging: ReutersMessaging: sweta.singh.thomsonreuters.com@reuters.net))


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