Dow jumped by 100 points, technology sector rises also

U.S. stocks traded higher on Tuesday as tech and financials rebounded from slight losses in the previous session.

The Dow Jones industrial average rose 100 points shortly after the open, with Boeing and Apple contributing the most gains. Boeing shares got a lift after the company received a government contract for intercontinental ballistic missile system replacements. The stock also followed other defense companies higher after President Donald Trump's speech on the Afghanistan war.

The S&P 500 rose 0.6 percent, with information technology and financials among the best-performing sectors. The two sectors closed slightly lower on Monday.

The Nasdaq composite outperformed, rising half a percent. The index was also on track to snap a three-day losing streak.

Federal Reserve officials are expected to be joined by European Central Bank President Mario Draghi and Haruhiko Kuroda, the Bank of Japan governor. Investors will be on the lookout for any commentary related to global monetary policy.

The Fed is expected to start rolling off its massive $4.5 trillion balance sheet next month, but investors are split on when the next rate hike will arrive. Market expectations for a December rate hike are 41 percent, according to the CME Group's FedWatch tool.

Equities have had a stellar year, but have lost some of their appeal this month. The S&P is up about 9 percent year to date, but has fallen more than 1 percent in August.

Source: Bloomberg Pro Terminal

Jr Trader Ivan Ivanov

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