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Overnight Markets: IBM lifts Dow Jones over 23,000

Overnight Markets: IBM lifts Dow Jones over 23,000

The Dow Jones Industrial Average closed above the 23,000 level for the first time on Wednesday, driven by strong quarterly results from IBM, which lifted its shares to their biggest one-day gain since 2009.

The S&P 500 and Nasdaq Composite also ticked up to record closing highs. The Dow Jones rose 160 points, or 0.7%, to 23,158, the S&P 500 gained two points, or 0.07%, to 2,561 and the Nasdaq Composite added one point, or 0.01%, to 6,624.

IBM jumped 8.9% after the technology and consulting company delivered strong quarterly results. The gain was the biggest one-day jump for IBM since January 2009. Even so, the stock remains down 3.9% for the year. IBM's gain was responsible for 89 points of the Dow's increase.

The financial index jumped 0.6%, led by bank stocks recovering from recent post-earnings losses. Bullish calls by brokerages helped to support the bank shares. Gains by Goldman Sachs accounted for another 40 points of the Dow’s climb. Insurer Assurant climbed 6.2%.

Northern Trust shares picked up 3.8% after the bank's earnings and revenue beat analysts' estimates.

In deal news, Anthem, the second-largest US health insurer, rose 2.4% after announcing that it's entered a prescription benefits management deal with CVS. Anthem shares added $4.53 to $191.79. CVS rose $1.47, or 2%, to $74.10.

Abbott (ABT.N) rose 1.3% after the company’s profit beat estimates on strong sales in its medical devices business.

After the bell, shares of eBay (EBAY.O) fell 4% following its results.

Investors await news on Trump’s decision on the Federal Reserve chair position. The White House said on Wednesday Trump will announce his decision in the “coming days.”

In Asia, shares rose to near decade highs on Thursday in morning session, continuing to ride on a global equities rally, while the dollar resumed its rise on the back of a spike in US yields.

Japan's Nikkei advanced 0.6% to a fresh 21-year high, while South Korea's KOSPI crept up to an historical high. Australian stocks added 0.2%.

In China, Shanghai Composite Index bucked the trend and slipped 0.3%. Hong Kong’s Hang Seng Index added 0.08%.

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