New York,  US stocks traded higher on Wednesday as investors digested the latest quarterly corporate earnings reports.

The Dow Jones Industrial Average was up 196.23 points, or 0.667 per cent, to 29,472.57. The S&P 500 added 18.82 points, or 0.56 per cent, to 3,376.57. The Nasdaq Composite Index increased 66.60 points, or 0.69 per cent, to 9,705.55, Xinhua reported.

Most of the 30 Dow component companies traded higher, with UnitedHealth Group and Caterpillar adding 3.22 per cent and 2.17 per cent respectively, leading the gainers.

All of the 11 primary S&P 500 sectors traded in green territory, with consumer discretionary increasing 0.93 per cent, leading the advancers.

CVS Health reported fourth-quarter earnings revenue that was boosted by higher sales in its pharmacy benefit management business.

The drugstore chain registered quarterly revenue of $66.9 billion and adjusted earnings per share of $1.73, both topping Wall Street's estimates.