US open: Stocks climb as investors anticipate oil production cut

US stocks climbed on Tuesday with the Dow Jones Industrials topping the 19,000 point mark for the first time ever, while oil prices rallied ahead of a widely-anticipated suply cut from several of the world´s main producers.

The Dow Jones Industrial Average jumped 0.27% to 19,007.82 points, the S&P 500 rose 0.21% to 2,202.76 points, and the Nasdaq was up 0.38% to 5,389.10 points at 1521 GMT.

Spreadex’s Connor Campbell said: “The one big event this afternoon was the striking, however brief, 19,000 by the Dow Jones. Though it has only managed a 0.2% to 0.3% rise after the bell that was all it took to take the US index above that landmark level, a price is has teased ever since its initial rampage post-election.

“As to what is actually sending it higher despite the dollar taking half a percent back off the pound, it seems that Trump’s promise to exit the Trans-Pacific Partnership agreement might have caused investors to cheer the potential safeguarding of jobs in the US (whether or not that will be the result is another discussion altogether).”

Oil prices continued to rally amid expectations that OPEC member states would agree to slash production, along with non-OPEC Russia, at the cartel’s next meeting on 30 November.

A report citing a Nigerian delegate who said that all OPEC members were likely to "be on board by the end of the day" following a second day of technical meetings saw West Texas Intermediate hit an intraday high at $49.20 a barrel.

However, a report later in the day form Bloomberg, referencing 'sources', indicated that Iran, Iraq and Indonesia had reservations regarding a proposed 4.5% production cut by all members except Libya and Nigeria.

Gold on Comex was flat at $1,209.70 per troy ounce as the US dollar edged higher.

In currency markets, the dollar climbed 0.23% against the yen to 111.08, was edged higher by 0.55% versus sterling to 0.8048 and up 0.1% against the euro to 0.9418.

On the data front, the National Association of Realtors revealed that in October existing home sales rose to the highest in nearly a decade, due to increased demand.

Sales of previously owned homes were at a seasonally adjusted annual rate of 5.6m, 2% higher than in September and 5.9% higher than a year ago. This exceeded forecasts of 5.42m.

In corporate news, cyber-security company Palo Alto Networks tumbled 12.81% as it reported late on Monday that quarterly revenue growth slowed.

Shares in Dollar Tree soared 10.05% as the discount chain store owner beat expectations.

Third quarter income rose to $171.6m, or 72 cents per share from $81.9m, or 35 cents and earned 81 cents per share, above the forecast 78 cents.

Campbell Soup’s shares edged higher by 3.22% as its profit topped third quarter forecasts. Net income increased to $292m, or 94 cents per share, from $194m , or 62 cents per share,last year.

Excluding certain items, the company earned $1 per share, beating expectations of 95 cents.

Shares in Barnes & Noble surged 11.89% as the bookseller’s second quarter loss was smaller than expected.

Net loss was $20.4m, or 29 cents per share, wider than $27.2m, or 36 cents last year, but bested the consensus forecast for 39 cents. Sales were down 4% to $858.5m.