U.S. markets rose after a rise in price of shares of technology companies

© AP Photo / Richard DrewРабота the new York stock exchange. Archival photoU.S. markets rose after a rise in price of shares of technology companies© AP Photo / Richard Drew

Major U.S. stock indexes finished trading in positive territory amid growing companies in the financial and technology sector and on expectations of the announcement by US President Donald trump details of the extensive tax reform later on Wednesday, according to the auction.

Dow Jones industrial average rose 0.25%, to 22340,71 points, the index of high-tech companies NASDAQ by 1.15% to 6453,26 points, the index of wide market S&P 500 by 0.41% to 2507,04 points.

Earlier, the head of the Federal reserve system (FRS) the USA Janet Yellen said that despite the still low inflation, the regulator «may have underestimated the improvement in the labour market». The Governor also confirmed plans for a gradual increase in interest rates.

The US President Donald trump said Wednesday that he agreed to tax cuts in the US to 20%, as proposed by the Republican majority in Congress, although planned in the framework of the presidential campaign to reduce this figure to 15%.

The Republican party has introduced a plan that offers tax cuts for businesses. Thus, the tax deductions to encourage the purchase of housing and the charity.

Corporate tax, under this plan, it is proposed to reduce to 20% instead of the current 35%. Instead of the six step income scale from 10 to 39.6% is proposed to introduce three speed — 12%, 25% and 35%. While Congress reserves the right to increase the scale for the most wealthy citizens.

«Tax reform involves a lot of optimism, especially among small companies that will benefit from this», — quotes Agency MarketWatch words of the chief market strategist at JonesTrading Michael O’rourke (Michael O’rourke).