*

White House confirms Trump-Xi meeting as part of next

week's

Asia trip

*

IBM ( IBM ) slumps on cloud slowdown

*

Crude jumps, energy stocks rise after US sanctions Russian

oil

*

Quantum computing firms gain on report of US govt stake

talks

(Updates to market close)

By Stephen Culp

NEW YORK, Oct 23 (Reuters) - Wall Street advanced on

Thursday as investors mulled a mixed batch of corporate earnings

and shifting geopolitical concerns.

All three major U.S. stock indexes closed higher, with tech

strength nudging the Nasdaq into the lead. But the small-cap

Russell 2000 was the clear outperformer.

The indexes gained some momentum after the White House confirmed

U.S. President Donald Trump will meet Chinese President Xi

Jinping next week as part of his trip through Asia.

Trade tensions between Washington and Beijing have been

escalating in recent days, marked by tit-for-tat retaliatory

measures announced by both sides. Confirmation that the two

leaders would meet next week appeared to ease those tensions.

Trump announced sanctions against Russian oil companies, marking

a sharp policy shift in ramping up the pressure on Moscow over

its war against Ukraine, ratcheting up geopolitical strife and

sending world oil prices jumping.

"The Trump-Xi confirmation is clearly positive," said

Zachary Hill, head of portfolio management at Horizon

Investments in Charlotte, North Carolina. "That's a good

checkpoint for sentiment, which has been really up-and-down on

trade and that's obviously playing a role today."

"Additionally, earnings have been really strong in general,"

Hill added. "And that's supporting the market from a fundamental

perspective."

According to preliminary data, the S&P 500

gained 38.77 points, or 0.58%, to end at 6,738.17 points,

while the Nasdaq Composite gained 197.95 points, or

0.87%, to 22,938.34. The Dow Jones Industrial Average

rose 143.50 points, or 0.31%, to 46,733.91.

Third-quarter reporting season has hit full stride.

Tesla shares closed higher, reclaiming earlier

losses following its third-quarter profit miss. The

electric-vehicle maker was the first of the "Magnificent Seven"

group of megacap momentum stocks that account for more than a

third of the S&P 500's market cap.

IBM ( IBM ) dropped after reporting a slowdown in its key

cloud software segment, eclipsing its earnings beat.

So far, just over a quarter of the companies in the S&P 500

have reported third-quarter results. Of those, 86% have beaten

consensus expectations, according to LSEG data.

In aggregate, analysts currently expect S&P 500

third-quarter earnings growth of 9.9% year-on-year, up from

their 8.8% growth estimate as of October 1, per LSEG.

In other earnings, health insurer Molina Healthcare ( MOH )

plunged after slashing its annual profit forecast.

Honeywell ( HON ) raised its annual profit forecast on

strong aerospace demand, sending its stock higher.

American Airlines ( AAL ) shares advanced after the carrier

raised its annual profit forecast, while Southwest Airlines ( LUV )

slipped despite posting a surprise quarterly profit and

record current-quarter sales.

T-Mobile dipped even after the telecom's wireless

subscriber adds surpassed analyst expectations.

Dow stock surged after the chemical company reported

a smaller-than-expected quarterly loss as cost cuts and higher

volumes helped offset price weakness.

Quantum computing firms jumped after the Wall Street Journal

reported that the Trump administration was in talks with several

of them to take equity stakes in exchange for federal funding.

Energy companies, buoyed by spiking crude prices in the

wake of Trump's sanctions on Russian oil, enjoyed the biggest

percentage gain among the 11 main sectors of the S&P 500. Oil

majors Exxon Mobil ( XOM ) and Chevron ( CVX ) ended the session

higher.

Valero Energy ( VLO ) rose after the independent oil refiner

reported better-than-expected third-quarter profits.

Rising geopolitical turmoil has benefited aerospace and defense

stocks over the past year. The S&P 500 Aerospace and Defense

index outperformed on the day.