Investors breathed a sigh of relief as Congress acted to keep the full faith and credit of the United States intact. The Senate announced a plan Wednesday morning that would reopen the government and raise the debt ceiling.
Traders anxiously waited to see if lawmakers could come to an agreement before Thursday's debt ceiling deadline. With the risk of US default on interest payments removed, brokers are putting more skin in the game while also looking at major corproate earnings reports due today.
American Express, IBM, and Ebay are some of the 22 companies in the S&P that are scheduled to post results today. Wall Street estimates an average 1.4 percent increase in profits and 2 percent rise in sales for companies in the index over the third quarter.
U.S. stocks were higher in morning trading Wednesday with both the Dow Jones industrial average and the S&P 500 up. The Nasdaq Composite Index rose 1.2 percent to its highest level in 13 years.