Stocks gained Thursday, led by several blue chips amid the strong start to the third-quarter earnings season and the formation of a Brexit deal.
Continue Reading Below
|I:DJI||DOW JONES AVERAGES||25890.18||-396.85||-1.51%|
|I:COMP||NASDAQ COMPOSITE INDEX||10343.888649||-89.76||-0.86%|
Netflix shares rose after the streaming service forecast slowing subscriber growth that wasn't as bad as analysts expected. The company reported better-than-expected third-quarter earnings of $1.47 a share on in-line revenue of $5.24 billion.
Morgan Stanley capped off earnings from the biggest U.S. banks on a positive note, beating on both the top and bottom lines.
Investors also piled into blue chips including Nike, Home Depot and JPMorgan Chase which rose to fresh records, helping lift the broader U.S. averages.
|JPM||JP MORGAN CHASE & CO.||92.32||-2.68||-2.82%|
|HD||THE HOME DEPOT INC.||247.35||-2.20||-0.88%|
Thursday morning, leaders from the European Union and the United Kingdom announced they reached a draft agreement on a Brexit deal which still needs to be backed by EU member states and by the respective parliaments.
European Commission President Jean-Claude Juncker tweeted: "Where there is a will, there is a #deal - we have one! It’s a fair and balanced agreement for the EU and the UK and it is testament to our commitment to find solutions."
Juncker told the 27 EU nations they should endorse the deal.
Elsewhere, shares of IBM were under pressure after the computer-solutions provider reported a fifth straight quarter of sliding sales. IBM's third-quarter revenue of $18.03 billion fell short of Wall Street estimates.
|IBM||INTERNATIONAL BUSINESS MACHINES CORP.||117.58||-2.61||-2.17%|
Overseas, the British pound gained on word of a Brexit deal. Sterling was up as much as 1.2 percent to 1.2990 versus the U.S. dollar before paring its gains.
European stock markets were higher across the board, with Britain's FTSE leading the way, up 0.8 percent.
In Asia, Hong Kong's Hang Seng index added 0.4 percent, Tokyo's Nikkei 225 index lost 0.1 percent while the Shanghai Composite index slipped 0.2 percent.
FOX Business' Ken Martin and the Associated Press contributed to this article.