U.S. equity markets continued their advance on Wednesday, supported by cyclicals as investors counted on continued robust economic growth.

In late morning trading, the Dow Jones advanced 0.5% to 38,707.3 points, while the Nasdaq Composite climbed 0.9% to 15,748.6 points.707.3 points, while the Nasdaq Composite climbed 0.9% to 15,748.6 points, after hitting a new all-time high.

With a gain of 0.7% to 4991.4 points, the S&P 500 also set new records and moved ever closer to the uncharted 5000-point level.

Solid economic statistics recently published in the USA, together with a fairly robust earnings season, are driving investors towards sectors associated with economic growth.

Materials (+0.9%), Industrials (+0.7%) and Consumer Discretionary (+0.9%) are thus leading the markets.

Gains remain limited, however, as investors remain cautious at a time when the pace of corporate earnings releases is accelerating.

Ford gains over 2% following better-than-expected quarterly results, despite the UAW strike, and a positive outlook for 2024.

Yum! Brands gained 3.7% after lacklustre results, but the operator of KFC, Pizza Hut and Taco Bell was optimistic, forecasting that it would pass the 60,000-restaurant mark worldwide during 2024.

Uber was stable after reporting attributable net profit of $1.4 billion for the final quarter of 2023, and an adjusted EBITDA margin that improved by 1.2 points to 3.4%, a new all-time high.

Bucking the trend, Snap - the owner of messaging app Snapchat - fell 30% after reporting disappointing results and forecasts.

According to UBS data, 71% of S&P companies that published their accounts exceeded consensus, with average EPS growth of 10%, driven mainly by the technology sector (+40%).

On the statistics front, the U.S. trade deficit widened slightly to $62.2 billion in December, compared with $61.9 billion in November, according to Commerce Department figures.

In the energy sector, the price of a barrel of Texas light crude was little changed, nibbling 0.2% to $73.4 following the announcement of a new weekly rise in crude oil inventories

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