Traders work on the floor of the New York Stock Exchange (NYSE) on November 02, 2023 in New York City.
Spencer Platt | Getty Images
Stocks jumped Monday to start a holiday shortened week, boosted by strong tech gains led by Microsoft and Nvidia.
The Dow Jones Industrial Average gained 203.76 points, or 0.58%, to close at 35,151.04 . The S&P 500 added 0.74% and ended at 4,547.38, while the Nasdaq Composite climbed 1.13% to close at 14,284.53. It was the fifth consecutive day of gains for the S&P 500 and the tech-heavy Nasdaq.
Chipmaker Nvidia also added 2.3%, closing at an all-time high for the stock ahead of its earnings report Tuesday afternoon.
The tech and communication services sectors were the biggest gainers in the S&P 500, up 1.5% and 1%, respectively. Palo Alto Networks jumped 5.2%, while Intel climbed 2.1%. Meanwhile, Paramount rose 5.6%, followed by Netflix, which gained 1.8%.
U.S. markets will be closed Thursday due to the Thanksgiving holiday. Friday will also be a shortened trading day. Trading around the Thanksgiving holiday has been choppy in recent years, but November is still the best-performing month for the S&P 500, according to the Stock Traders’ Almanac.
Market bulls remain enthusiastic into year-end, particularly after cooler-than-expected U.S. inflation data released last week calmed investors’ nerves about stubbornly high prices and provided a hopeful indication that the Federal Reserve could stop raising interest rates. Yields also continued their decline on Monday following a strong auction on 20-year Treasury notes.
“One of the things that’s fueled this recent rally from the end of October and today has been about a half-a-percent drop in Treasury yields, that obviously supports asset values,” said Tom Hainlin, senior investment strategist at Ascent Private Capital Management of U.S. Bank.
To be sure, he noted that fiscal spending and deficit issues put the risk of upward pressure on yields.
“So we still see volatility in the bond market, but so far the drop in yields has really supported those riskier asset prices, [which] will be a key focal area for us in 2024,” Hainlin added.
Wall Street will also keep an eye on the latest Fed minutes, which are scheduled to be released Tuesday.
(This story is auto generated from a syndicated feed. Symbels Journal staff is not involved in its creation.)