Wall Street surges as earnings stir risk appetite

U. .S. stock indexes surged on Tuesday over positive results from several companies. Earnings have stirred up risk appetite, after big banks had announced third quarter positive earnings last week.

The S&P 500 index is now 0.7% away from a record high hit last September, while investors hope that a flow of better than expected earnings reports will push the market to new highs despite concerns about tightening the fed’s monetary policy.

Nine of the 11 major S&P 500 sector indexes were trading higher, with healthcare stocks taking the lead, while technology shares offered the biggest boost. Analysts now expect S&P 500 earnings to rise 32.4% from a year earlier.

Growth stocks, including Facebook, Apple, Alphabet and Microsoft rose between 0.3% and 1.2%. Netflix fell 0.6% ahead of its quarterly results later in the day.

Investors are also looking out for warnings from companies that are more exposed to supply chain constraints, price rises and labour shortages.