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Overnight Markets: Wall Street extends recent gains

Overnight Markets: Wall Street extends recent gains

Wall Street surged to record highs again on Thursday, after Congress passed a budget resolution – a step closure to an overhaul of the tax code.

The Dow Jones Industrial Average rose 95 points, or 0.42%, to 22,757, the S&P 500 gained 13 points, or 0.51%, to 2,551 and the Nasdaq Composite added 43 points, or 0.66%, to 6,578.

The US House of Representatives voted to adopt a fiscal 2018 spending blueprint containing a legislative tool that would let Republicans bypass Democrats and pass a tax bill by a simple majority vote in the Senate, where they hold 52 of 100 seats.

Data pointed to underlying strength in the economy despite weather-related disruptions, with the trade deficit narrowing in August and jobless claims falling more than expected last week.

New orders for goods made in the US increased in August and orders for core capital goods were stronger than previously reported.

Shares of Netflix jumped 5% after the company raised the monthly subscription fees for two of its three main US plans by $1 and $2, respectively.

Banks rose after Randal Quarles was confirmed as vice chair of the Federal Reserve. The banking sector widely expects Quarles to play a key part in US President Donald Trump’s efforts to ease regulations.

Amazon was up 1.6% after the world’s largest online retailer said it was testing its own delivery service. United Parcel Service Inc. fell 0.7%.

SeaWorld Entertainment Inc. fell 6.5% after news Legoland parent Merlin Entertainments Inc. might buy part of the troubled water park operator.

Corona-parent Constellation Brands Inc. gained 4% after it reported second-quarter earnings that beat expectations and raised its outlook.

In Asia, share markets gained in morning trade on Friday, ahead of the crucial US nonfarm payrolls data due later in the global day.

Australia's ASX 200 rose 0.76% to 5,695. In Japan, the Nikkei 225 was up 0.22% at 20,674 in morning trade, while the Topix index advanced 0.21%. Hong Kong's Hang Seng index was up 0.35%, after the market returned to trade following a public holiday on Thursday.

Markets in China and South Korea remained shut for public holidays.

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