INSUBCONTINENT EXCLUSIVE:
Analysts are now more optimistic on first-quarter earnings growth.The SP 500 index notched a fresh record high on Wednesday, as gains in
Apple Inc's shares after forecast-beating results powered a rally in technology stocks ahead of the Federal Reserve's latest policy
announcement.Shares of the iPhone maker jumped 5.3 per cent after the company said sales in China were steadying and touted how rising
demand for its services and accessories helped offset a record drop in iPhone revenue.The company also announced plans for a new $75 billion
share buyback and bumped up its cash dividend by 5 per cent, putting it on course to reclaim $1 trillion in market capitalization.Apple's
shares boosted the SP 500 index, which clocked another record closing high on Tuesday and registered its best four-month rally in nearly
nine years.The technology sector gained about 0.7 per cent, the most among the 11 major SP sectors."Many were expecting an earnings
recession and we haven't had that and we're still positive on growth," said Randy Frederick, vice president of trading and derivatives for
Charles Schwab in Austin, Texas."It's been a good earnings season overall, Apple could potentially be positive for the tech sector
overall."Analysts are now more optimistic on first-quarter earnings growth and expect a 0.5 per cent rise compared with a 2 per cent fall
estimated at the beginning of April, according to Refinitiv data.Of the 305 SP 500 companies that have reported so far, 76 per cent have
topped Wall Street estimates.Besides a largely upbeat earnings season, recent gains in shares have also been powered by positive economic
data, a dovish Federal Reserve and signs of progress in US-China trade talks.Investors will also look for direction on monetary policy when
the Fed concludes its two-day meeting later in the day.The central bank is largely expected to keep borrowing costs unchanged and maintain a
'patient' monetary policy stance, despite President Donald Trump's call to cut rates.The financial sector, which tend to benefit from a
rising rate environment, rose 0.24 per cent, with SP banks up 0.46 per cent.At 9:57 a.m
ET the Dow Jones Industrial Average was up 49.55 points, or 0.19 per cent, at 26,642.46, the SP 500 was up 3.71 points, or 0.13 per cent, at
2,949.54 and the Nasdaq Composite was up 27.01 points, or 0.33 per cent, at 8,122.40.CVS Health Corp jumped 4.2 per cent after the drugstore
chain operator and pharmacy benefits manager raised its full-year profit forecast after reporting a quarterly profit beat.Hilton Worldwide
Holdings gained 6.4 per cent, the most among SP 500 companies, after the hotel operator reported quarterly revenue above analysts'
expectations.The healthcare sector fell 0.6 per cent, as shares of Amgen Inc fell 4.2 per cent after the world's largest biotech reported
first-quarter revenue that was unchanged from a year ago.In economic data, ADP's National Employment Report showed private employers added
275,000 in April, higher than consensus estimate of 180,000 additions.The private survey comes ahead of the much anticipated government jobs
report on Friday, which is expected to show fewer job additions last month compared to March.Advancing issues outnumbered decliners by a
1.39-to-1 ratio on the NYSE
Declining issues outnumbered advancers for a 1.03-to-1 ratio on the Nasdaq.The SP index recorded 34 new 52-week highs and two new lows,
while the Nasdaq recorded 58 new highs and 21 new lows.Get the latest election news, live updates and election schedule for Lok Sabha
Elections 2019 on TheIndianSubcontinent.com/elections
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