Stocks rise as market rebound stretches to a 3rd day

NEW YORK—Stocks climbed Thursday as major indexes extended a rebound into a third day. The dollar dropped, a change that provided a relief to big exporters like industrial and technology companies.

The U.S. stock market continued its gradual rebound from a plunge that lasted almost the entire month of October, and many of the biggest gains Thursday came from stocks that struggled badly last month like chipmakers and other technology companies and smaller, domestically-focused companies.

Stocks headed higher after U.S. President Donald Trump tweeted that he had spoken to Chinese President Xi Jinping and that the two countries were making some progress in trade negotiations. He didn’t give details, but there have been few signs of movement in the trade dispute in recent months, and investors are getting nervous about the prospect of huge tariff increases.

Strong earnings from U.S. companies have helped the market recover its footing over the last three days. Apple climbed 1.5 percent to $222.22 prior to releasing its quarterly report, but it slumped 4 percent in aftermarket trading after reporting that it sold fewer iPhones than analysts expected and gave a weak forecast for the current period.

The S&P 500 index added 28.63 points, or 1.1 percent, to 2,740.37. The Dow Jones Industrial Average picked up 264.98 points, or 1.1 percent, to 25,380.74. The Nasdaq composite climbed 128.16 points, or 1.8 percent, to 7,434.06. The Russell 2000 index jumped 33.57 points, or 2.2 percent, to 1,544.98.

Stocks fell sharply from early October through the last few days of the month, a skid that briefly wiped out their gains for the year. After a rally over the last two days, the S&P 500 is up 2.5 percent in 2018.

During the sell-off, high-growth companies like technology and industrial companies and smaller stocks were hit especially hard as investors worried about various factors that could slow their growth and their profits. Those included the U.S.China trade fight, rising interest rates that could make it more expensive to borrow money, and higher costs for fuel and other necessities.

Exporters rose as the dollar slumped. The ICE US Dollar Index slid 0.9 percent after reaching a 16-month high on Wednesday. A weaker dollar helps companies that do a lot of business outside the U.S., as it makes their products more affordable in foreign markets and also increases their profits when they are translated back into dollars.

Boeing rose 2.3 percent to $363.07 while farm equipment maker Deere added 3.8 percent to $140.65. Among chipmakers, Nvidia gained 3.5 percent to $218.11 and Advanced Micro devices leaped 11 percent to $20.22. The S&P 500 fell 6.9 percent last month, and technology and industrial companies and retailers fared even worse.

The decline in the dollar also sent metals prices sharply higher. Gold jumped 1.9 percent to $1,238.60 an ounce. Silver soared 3.5 percent to $14.78 an ounce. Copper gained 2.4 percent to $2.72 a pound.

Oil prices continued to weaken after the Department of Energy said U.S. crude stockpiles increased for the sixth straight week. Benchmark U.S. crude slumped 2.5 percent to $63.69 a barrel in New York. Brent crude, used to price international oils, shed 2.9 percent to $72.89 a barrel in London.

Wholesale gasoline fell 2 percent to $1.72 a gallon and heating oil skidded 2.2 percent to $2.20 a gallon. Natural gas fell 0.7 percent to $3.24 per 1,000 cubic feet.