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US STOCKS-Wall St gains as tech stocks recover, banks rise
June 13, 2017 / 3:35 PM / 6 months ago

US STOCKS-Wall St gains as tech stocks recover, banks rise

* Dow hits record intraday high

* Amazon drives consumer discretionary stocks

* Apple, big tech names recover

* Indexes up: Dow 0.18 pct, S&P 0.11 pct, Nasdaq 0.17 pct (Adds details, comments, updates prices)

By Sruthi Shankar

June 13 (Reuters) - U.S. stocks were higher on Tuesday, with the Dow hitting an all-time high as bank stocks gained and technology shares rebounded from a selloff.

The S&P 500 technology sector rose 0.5 percent, leading gainers among the 11 major S&P indexes, recovering from its biggest two-day decline in nearly a year on Monday.

“The selloff in tech probably was a bit further than people expected, so there is some bargain hunting back into that sector,” said Rick Meckler, president of LibertyView Capital Management.

“I think the sector rotation could go on for a while.”

Investors are also likely to stay away from making big bets ahead of a near-certain interest rate hike from the Federal Reserve.

Traders have priced in a 94 percent chance of the Fed raising rates after its two-day meeting that starts on Tuesday. Investors are also looking for more details on the central bank’s plans to trim its $4.5 trillion balance sheet.

The Fed is expected to release its decision at 2:00 p.m. ET (1800 GMT) on Wednesday followed by a press conference by Fed Chair Janet Yellen.

At 11:01 a.m. ET the Dow Jones was up 37.31 points, or 0.18 percent, at 21,272.98, the S&P 500 was up 2.7 points, or 0.11 percent, at 2,432.09 and the Nasdaq Composite was up 10.22 points, or 0.17 percent, at 6,185.69.

Seven of the 11 major S&P sectors were higher. Amazon.com rose 0.7 percent, after recording losses for the past two days, and gave the biggest boost to the consumer discretionary index.

Financials rose 0.4 percent, helped by gains in big banks after the U.S. Treasury Department announced a plan to make sweeping changes to banking regulations on Monday.

The department proposed to reduce trading restrictions that big banks face, ease their annual stress tests, and curb the powers of the Consumer Financial Protection Bureau (CFPB).

“I think investors are unsure of real regulatory changes but this is enough talk to keep them interested,” Meckler said.

Restaurant chain operator Cheesecake Factory was down nearly 10 percent at $52.61 after it warned of a decline in comparable store sales in the current quarter.

Tesla was up 2.5 percent at $368.17 after Berenberg raised its rating on the stock to “buy” from “hold”.

Advancing issues outnumbered decliners on the NYSE by 1,800 to 941. On the Nasdaq, 1,603 issues rose and 1,056 fell. (Reporting by Sruthi Shankar; Additional reporting by Yashaswini Swamynathan in Bengaluru; Editing by Anil D‘Silva)

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