US STOCKS-S&P wavers with U.S.-China trade talks in focus


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* Trump set to meet Chinese Vice Premier later on Thursday

* Boeing biggest boost to Dow; Facebook lifts S&P

* Tesla skids after deliveries disappoint

* Tech stocks set to break 5-day rally

* Dow up 0.58%, S&P up 0.09%, Nasdaq off 0.13% (Adds comments, updates prices)

By Sruthi Shankar and Shreyashi Sanyal

April 4 (Reuters) - The S&P 500 swung between gains andlosses on Thursday, but held near six-month highs with supportfrom Boeing CoBA.N and Facebook IncFB.O , as investorswaited for more clarity on the U.S.-China trade talks.

Negotiations continued in Washington after meetings lastweek in Beijing, as the two countries worked toward resolvingtheir long-standing trade dispute which has cast a shadow overglobal economic growth. urn:newsml:reuters.com:*:nL1N21M0ME

President Donald Trump is set to meet Vice Premier Liu He,who is leading the Chinese side in the talks later on Thursday.

"The fundamentals are strong enough and the trade talks areoffering an added support to the sentiment," said Kevin Miller,chief investment officer at E-Valuator Funds in Minneapolis,Minnesota.

"I do expect that the U.S. will get a trade agreement signedwith China and that is going to obviously elevate markets."

Hopes of a trade deal have driven the S&P 500 .SPX to astrong start since the beginning of the quarter and it hasclosed higher all of this week. The index is near its highestsince Oct. 10 and less than 2% away from hitting an all-timehigh.

However, worries about a global slowdown sapped someenthusiasm. Earlier, data showed German industrial orders inFebruary fell at their sharpest rate in more than two years. urn:newsml:reuters.com:*:nL8N21M27U

That followed disappointing U.S. services sector activityand private payrolls data on Wednesday. Investors will get aclearer picture of the strength in the labor market when thenon-farm payrolls report comes out on Friday. urn:newsml:reuters.com:*:nL1N21L0LR

At 11:47 a.m. ET the Dow Jones Industrial Average .DJI was up 153.30 points, or 0.58%, at 26,371.43, the S&P 500 .SPX was up 2.65 points, or 0.09%, at 2,876.05 and the NasdaqComposite .IXIC was down 10.39 points, or 0.13%, at 7,885.16.

The Nasdaq was pressured by a fall in the shares ofMicrosoft Corp MSFT.O and Tesla IncTSLA.O .

Tesla tumbled 7.57% after the electric carmaker's deliveriesfell 31% in the first quarter on challenges in shipping toEurope and China. urn:newsml:reuters.com:*:nL1N21M00E

Seven of the 11 major S&P sectors were higher. Thetechnology sector .SPLRCT fell 0.55% and was set to snap afive-day winning streak.

Facebook rose 2%, lifting the communication services sector .SPLRCL by 0.68%, after brokerage Guggenheim upgraded thesocial media company's stock to "buy" from "neutral".

Boeing rose 2.81%, contributing the most to gains on the Dowand the S&P industrial index .SPLRCI , which rose 0.61%.

Morgan Stanley analyst Rajeev Lalwani said the initial datafrom Ethiopian investigators indicated that the flight controlsystem of the 737 MAX jet was the issue, which potentially tooka worst case scenario off the table of an entirely new cause.

Ethiopia urged the planemaker to review its flight controltechnology in the first public findings on the crash. urn:newsml:reuters.com:*:nL8N21M1Q5

Advancing issues outnumbered decliners for a 1.50-to-1 ratioon the NYSE and a 1.25-to-1 ratio on the Nasdaq.

The S&P index recorded 16 new 52-week highs and one new low,while the Nasdaq recorded 36 new highs and 22 new lows. (Reporting by Sruthi Shankar and Shreyashi Sanyal in Bengaluru;Editing by Shounak Dasgupta) ((sruthi.shankar@thomsonreuters.com; within U.S. +1 646 2238780; outside U.S. +91 80 6749 6328; Reuters Messaging:sruthi.shankar.reuters.com@reuters.net))




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