US stocks continue post-trade deal rally

The Dow closed above 29,000 for the first time

U.S. equity futures are pointing to a higher open on Wall Street on investor optimism over the U.S.-China trade deal.

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The major futures indexes are indicating a rise of 0.3 percent.

The agreement helped propel the Dow Jones Industrial Average closed above 29,000 points for the first time and the S&P 500 index hit its second record high in three days Wednesday.

TickerSecurityLastChangeChange %
I:DJIDOW JONES AVERAGES29348.1+50.46+0.17%
SP500S&P 5003329.62+12.81+0.39%
I:COMPNASDAQ COMPOSITE INDEX9388.944045+31.81+0.34%

President Donald Trump and China's chief negotiator, Liu He, signed the “Phase 1" deal on Wednesday before a group of corporate executives and reporters at the White House. The pact eases some sanctions on China. In return, Beijing has agreed to step up its purchases of U.S. farm products and other goods.

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President Donald Trump signs a trade agreement with Chinese Vice Premier Liu He, in the East Room of the White House, Wednesday, Jan. 15, 2020, in Washington. (AP Photo/Evan Vucci)

Japan's Nikkei added 0.1 percent, China's Shanghai Composite lost 0.5 percent and Hong Kong's Hang Seng picked up 0.4 percent.

In Europe, London's FTSE slipped 0.4 percent, Germany's DAX declined 0.2 percent and France's CAC was off 0.1 percent.

US, CHINA SIGN HISTORIC PHASE ONE TRADE DEAL

The deal done, traders will likely shift their attention elsewhere for now. But skepticism over the long-term prospects for resolving key issues remains, analysts said.

Earnings season continues with results expected from Morgan Stanley, Bank of New York Mellon and Charles Schwab.

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The Associated Press contributed to this article.