Dow Heads Skyward on Trade Deal with Japan

Stocks rose on Wednesday after President Donald Trump announced the U.S. had reached a trade deal with Japan, lifting hope for further agreements being made.

The Dow Jones Industrial Average popped 344.53 points to 44,846.97.

The S&P 500 index gathered 26.05 points to 6,335.67 and had hit a new all-time intraday high,

The NASDAQ marched 35.07 points to 20,927.75..

The run to new highs has sparked so-called animal spirits on Wall Street, with shares of small companies with brand names and questionable finances getting a boost. Kohl’s surged on Tuesday and GoPro and Krispy Kreme were jumping on Wednesday.

Investors are awaiting earnings from Alphabet and Tesla expected Wednesday after the bell. They are the first reports of the earnings season from the megacap technology sector, a group that’s been closely watched given its market leadership in recent years.

Beyond big tech, investors will also monitor reports from Chipotle Mexican Grill and Mattel after the market closes. These releases come amid a busy earnings week. Of the 105 S&P 500 companies that have reported so far this season, more than 86% have posted earnings that surpassed Wall Street’s expectations

Trump said in a Truth Social post Tuesday night that the U.S. had completed a “massive Deal” with Japan. The agreement includes “reciprocal” tariffs of 15% on the nation’s exports to the U.S.

The president also said the U.S. is meeting with European officials in a push to reach a trade deal with the European Union.

The U.S. has been pushing to reach trade deals with other countries ahead of an Aug. 1 deadline. This comes after Trump on April 2 sent markets into turmoil, with his announcement of sweeping tariffs

Prices for the 10-year treasury backslid, raising yields to 4.39% from Tuesday’s 4.34%. Treasury prices and yields move in opposite directions.

Oil prices were off seven cents to $65.24 U.S. a barrel.

Gold prices handed back $49.90 to $3,393.80 U.S. an ounce.