U.S. Stocks Notch Fourth Straight Gain; Tron and Cardano Outshine Crypto Peers
U.S. stocks held onto gains Wednesday, as Washington and Beijing wrapped up their first round of trade negotiations on a positive note, setting the stage for continued dialogue over the next two months. Crypto markets were mostly stable midweek, though Tron and Cardano put up large gains relative to their peers.
Another Positive Day for Wall Street
The stock market’s long climb from the abyss continued on Wednesday, with all major indexes reporting their fourth consecutive advance. The large-cap S&P 500 Index rose 0.4% to 2,584.96, with information technology and energy shares leading the market higher.
A strong performance in tech lifted the Nasdaq Composite Index 0.9% higher to 6,957.08.
The Dow Jones Industrial Average rose 91.67 points, or 0.4%, to close at 23,879.12.
The indexes have recovered more than 10% since Christmas Eve, when they closed at their lowest level in over a year. The CBOE Volatility Index, also known as the VIX, has fallen back down to historic levels near 20 after climbing above 36 during the height of the selloff last month.
Progress on Trade
Trade delegations from the U.S. and China on Wednesday wrapped up their first face-to-face meetings since the leaders of both countries agreed to a 90-day truce in December. As CCN reported earlier, the first round of talks went one day longer than initially planned, which implied positive dialogue on a number of different topics.
Although details remain scant, important progress was made on access to China’s market and the purchase of U.S. farm and energy commodities.
Negotiations are set to continue over the next two months ahead of a self-imposed Mar. 1 deadline. That’s when the 90-day truce agreed by President Trump and China’s Xi Jinping is scheduled to end. Positive steps to resolving the trade dispute will go a long way in helping stock markets recover from their three-month slump. Investors can expect volatile news headlines as both sides continue to meet. Markets will only be satisfied with a new comprehensive trade deal between the two countries.
Crypto Markets Edge Higher Thanks to Tron, Cardano
Cryptocurrencies as a whole stabilized on Wednesday, though a pair of hot performers kept the market in expansion mode.
Tron’s TRX token jumped more than 11% to $0.02894, its highest since late July. The cryptocurrency for the decentralized internet has gained more than 45% over the past seven days, propelled by the recent launch of BitTorrent tokens (BTT). The tokens are designed to incentivize file and resource sharing on the BitTorrent peer-to-peer network, which was acquired by Tron last year. Read more: Tron Surges to Five-Month High as BitTorrent Token Enters Circulation.
With the gain, Tron’s market cap is approaching $2 billion, placing it eighth among active blockchain projects.
Cardano also jumped in the rankings ahead of a highly anticipated network update called the Shelley Project. The upgrade is designed to bolster security on the blockchain and implement a better system of incentives, delegation and networking.
The Cardano ADA coin rose 7.1% to $0.0521, its highest since mid-November. The blockchain is now worth nearly $1.4 billion and is quickly approaching bitcoin SV for tenth spot by market cap.
The cryptocurrency market cap edged up slightly to $136.8 billion on Wednesday, though trade volumes fell by more than $1 billion to $15 billion.
Hacked keeps close tabs on crypto projects worth monitoring. Check out: Why Investors Should be Paying Attention to Dotcoin.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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