Stocks posted gains Friday after President Donald Trump signaled he wants a comprehensive aid package, reversing a decision he made earlier this week to call off U.S. stimulus negotiations.
The Dow Jones Industrial Average was up 159 points, or 0.56%, to 28,584, the S&P 500 rose 0.6% and the Nasdaq gained 0.61%.
Tech stocks jumped following reports that said Advanced Micro Devices (AMD) – Get Report was in advanced talks to buy rival chipmaker Xilinx (XLNX) – Get Report in a takeover that could be valued at $30 billion.
Xilinx was jumping 15.23% to $122.13, while AMD declined 3.18% on Friday to $83.76.
Treasury Secretary Steven Mnuchin has told House Speaker Nancy Pelosi that Trump wants agreement on a large-scale stimulus package, a Pelosi spokesman said. Trump had ordered his representatives on Tuesday to halt talks until after the Nov. 3 presidential election because he said Pelosi was negotiating in bad faith.
“The on-and-off nature of the fiscal stimulus discussion in the U.S. hardly inspires lasting confidence,” said Mizuho Bank. “Uncertainty around the presidential election on 3 November will likely persist not only through to polling day but possibly after.”
Stocks ended higher Thursday as Wall Street parsed the mixed signals about a stimulus package from Trump and Pelosi. Pelosi said Thursday she wouldn’t agree to a stand-alone relief bill for airlines without a guarantee that a more comprehensive package would be addressed.
Oil prices fell slightly Friday but were on track for weekly gains of about 10%, boosted by disruptions in the Gulf of Mexico from a strengthening Hurricane Delta.