U.S. Stocks Steady Near Record Levels

By David Hodari, Riva Gold and Kenan Machado Features Dow Jones Newswires

Dow industrials, S&P 500 extend gains from Monday

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-- Stocks in Hong Kong, Australia, Japan jump

-- Oil prices stall near two-year highs

The Dow Jones Industrial Average and the S&P 500 edged higher Tuesday, pushing the major indexes toward another set of records.

The Dow Jones Industrial Average added 40 points, or 0.2%, to 23590, while the S&P 500 rose 0.1%. Both were on track to notch fresh highs. The Nasdaq Composite was down 0.1%.

Corporate earnings and deal chatter contributed to individual stock moves. More than 80% of companies in the S&P 500 have reported results for the third quarter so far, according to FactSet, with three-quarters of firms announcing earnings above estimates.

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Shares of Royal Caribbean Cruises rose 5.8% after the cruise-ship operator reported better-than-expected profit. That helped lift other companies in the travel segment, including Carnival, up 2.7%, and Norwegian Cruise Line Holdings up 2.3%.

21st Century Fox added about 2% after reports that Walt Disney had held talks to purchase a large chunk of the company's entertainment business, though those talks have since cooled. Shares of Disney were up nearly 1% in recent trading.

In 2013, media mogul Rupert Murdoch split his media empire into News Corp, owner of The Wall Street Journal and other publishing businesses, and 21st Century Fox, home to the major entertainment assets.

Meanwhile, online travel companies Priceline Group and TripAdvisor fell 10% and 16%, respectively. Priceline lowered its profit outlook for the remainder of the year, overshadowing better-than expected sales and earnings. TripAdvisor missed revised sales estimates as it struggled with a faster-than-expected shift toward mobile.

Earnings reports have been generally upbeat, with six of the 11 sectors of the S&P 500, led by energy, reporting year-over-year earnings growth, according to FactSet.

"What is slightly concerning to me is that much of earnings upside has come from energy and materials, and I don't know that environment will be sustained," said Marc Zabicki, president and chief investment officer at Bower Hill Capital Management.

The Stoxx Europe 600 was little changed in afternoon trading.

Elsewhere, markets in Japan, Hong Kong, Australia and Taiwan hit multiyear highs, supported by the climb in energy and materials companies.

Japan's Nikkei rose 1.7% to levels last seen in early 1992 and Taiwan's Taiex rose 0.5% to its highest since 1990.

Hong Kong's Hang Seng's hit a 10-year high, supported by gains in Chinese oil majors and index heavyweight Tencent. Tencent spinoff China Literature goes public Wednesday.

Australia's benchmark hit its highest point since early 2008, aided by commodities, with roughly one quarter of the index composed of energy and materials companies.

The WSJ Dollar Index, which tracks the U.S. currency against 16 others, was up 0.4% while the yield on the 10-year Treasury note inching up to 2.322%, according to Tradeweb, from 2.318% Monday. Yields move inversely to prices.

Many investors were watching for speeches Tuesday from Federal Reserve Chairwoman Janet Yellen and the Fed's new vice chairman for supervision, Randal Quarles, whose remarks could shed light on his views on banking-sector rules.

--Michael Wursthorn contributed to this article

Write to Riva Gold at riva.gold@wsj.com and Kenan Machado at kenan.machado@wsj.com

(END) Dow Jones Newswires

November 07, 2017 10:42 ET (15:42 GMT)