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* All three stock indexes hover near record highs
* CVS, Humana gain on upbeat results, forecast
* HP jumps on report of Xerox considering takeover
* Match Group falls after weak Q4 revenue forecast
* Futures up: Dow 0.12%, S&P 0.12%, Nasdaq 0.11%
(Adds comment, updates market action)
By Arjun Panchadar
Nov 6 (Reuters) - Wall Street's main indexes were set to
open near record highs on Wednesday, as a largely upbeat
corporate earnings season and optimism around a U.S.-China trade
truce drive a rally in stocks.
Latest reports on the trade front said the world's top two
economies were still working out the details of a "phase one"
trade deal, which could be signed later this month. Investors are closely tracking data to assess the fallout of
the trade war on the domestic economy. A fresh crop of
indicators this week has been mixed, with the ISM services index
showing a better-than-expected reading, but nonfarm productivity
falling. "We're at a place now where the three things that have been
driving markets have continued to be consistently constructive:
better-than-expected earnings, data apart from manufacturing is
better and the tone around trade is as good as we've seen in the
cycle," said Art Hogan, chief market strategist at National
Securities in New York.
Of the 383 S&P 500 companies that have reported
third-quarter results so far, nearly three quarters have beaten
profit expectations, according to IBES data from Refinitiv.
To some extent, however, those figures reflect the
significantly lowered expectations of analysts, who had forecast
the first earnings drop since late 2016, and doubts linger about
the market's ability to rally much further this year.
At 8:53 a.m. ET, Dow e-minis 1YMcv1 were up 33 points, or
0.12%. S&P 500 e-minis EScv1 were up 3.75 points, or 0.12% and
Nasdaq 100 e-minis NQcv1 were up 8.75 points, or 0.11%.
Humana Inc HUM.N rose 2.8% in premarket trading as the
health insurer reported quarterly profit that beat estimates on
higher sales of its government-backed Medicare Advantage health
plans. CVS Health Corp CVS.N gained 2.7% after the pharmacy chain
posted a better-than-expected quarterly profit, boosted by its
Aetna health insurance business and pharmacy benefit management
unit. But shares of Capri Holdings Ltd CPRI.N dropped 1.7% after
missing profit estimates, as protests in Hong Kong and negative
Chinese consumer reaction to an "incorrectly labeled" T-shirt
hurt sales of its Versace brand. Match Group Inc MTCH.O slumped 12.1% as the Tinder-owner
forecast fourth-quarter revenue below estimates in the face of
stiff competition from rival online dating services. Its parent
firm, IAC/InterActiveCorp IAC.O , dropped 10%. HP Inc HPQ.N jumped 8% after a report that Xerox Holdings
Corp XRX.N was considering an offer for the personal computer
maker at a premium to its market value of about $27 billion.
Xerox shares were down 3.8%.