US STOCKS-Wall Street gains on robust Coca-Cola, United Tech earnings

* Coca-Cola up on raising 2019 forecast, lifts consumer
staples
* United Tech gains on quarterly profit beat
* Trump, U.S. Congress leaders reach deal on debt limit
* Futures up: Dow 0.42%, S&P 0.36%, Nasdaq 0.29%

(Updates to open)
By Amy Caren Daniel
July 23 (Reuters) - U.S. stocks rose on Tuesday boosted by
better-than-expected earnings and forecast raises from blue-chip
companies including Coca-Cola and United Technologies, soothing
concerns over the pace of economic growth.
Over the last 24 hours investors have reacted positively to
a series of second-quarter reports, albeit often against
expectations for profits, which have been lowered due to this
year's concerns over growth.
"Analysts notoriously underestimate how well these companies
will do, and part of it is that companies intentionally lowball
the analysts so that they can beat their estimates," said Randy
Frederick, vice president of trading and derivatives for Charles
Schwab in Austin, Texas.
Coca-Cola Co KO.N shares rose 4.9%, the most among stocks
listed on the Dow Jones index, after the fizzy drink maker beat
quarterly earnings expectations and raised its full year organic
revenue forecast. Its gains pushed the consumer staples sector .SPLRCS 0.9%
higher, the biggest gainer among the major S&P sectors.
Industrial conglomerate United Technologies Corp UTX.N
gained 1.6%, after raising its full-year profit and sales
outlook. President Donald Trump and U.S. congressional leaders
reached a deal on Monday on a two-year extension of the debt
limit and federal spending caps that would avert a feared
government default later this year, but add to rising budget
deficits. "I think it is a very positive thing that they have reached
a budget deal. That pushes concerns of a debt ceiling and the
budget beyond the next presidential election, which is one less
thing for the market to worry about," Frederick said.
The overall profits of S&P companies are now estimated to
rise about 1% in the second quarter, according to Refinitiv IBES
data, improving from estimates of a small decline earlier.
Putting a damper on sentiment, the International Monetary
Fund lowered its forecast for global growth this year and next,
warning that more U.S.-China tariffs, auto tariffs or a
disorderly Brexit could slow growth further. Hopes that the Federal Reserve will adopt a looser monetary
policy have helped Wall Street's main indexes scale new record
levels, and put the S&P 500 just about 1% shy of its all-time
high.
At 9:44 a.m. ET, the Dow Jones Industrial Average .DJI was
up 115.45 points, or 0.42%, at 27,287.35, the S&P 500 .SPX was
up 10.73 points, or 0.36%, at 2,995.76. The Nasdaq Composite
.IXIC was up 23.76 points, or 0.29%, at 8,227.89.
The European Central Bank is expected to cut interest rates
on Thursday by 10 basis points and the Fed, which will meet a
few days later, is widely expected to lower rates by at least 25
basis points.
Travelers Cos Inc TRV.N was down 1.1% after the insurer
missed estimates for second-quarter profit, as weather-related
losses led to an 18% drop in underwriting gain. Hasbro Inc HAS.O jumped 6.2% and was the biggest gainer
among S&P 500 companies, after the toymaker reported
better-than-expected quarterly revenue. Advancing issues outnumbered decliners for a 2.41-to-1 ratio
on the NYSE and a 1.40-to-1 ratio on the Nasdaq.
The S&P index recorded 13 new 52-week highs and two new
lows, while the Nasdaq recorded 27 new highs and 38 new lows.