U.S. stocks rose on Monday as the technology sector and the stocks that benefited the most from the reopening of the economy led to progress.
The Dow Jones industrial average rose 186.14 points, or 0.6%, to 34,393.98. The S&P 500 grew by 1% to 4,197.05, strengthened in the technical and communication services sector. The Nasdaq Composite jumped 1.4% to 13,661.17, while Alphabet, Facebook and Microsoft jumped more than 2%.
Technical stocks were acquired to break away from another difficult period for bitcoin over the weekend as the cryptocurrency bounced back on monday. The cryptocurrency fell below $ 32,000 on Sunday, to jump 20% to above $ 39,000 on Monday. Last Wednesday, bitcoin prices fell to just over $ 30,000, dropping to their lowest level since late January.
Coinbase added 0.4% as bitcoin roared on Monday as Goldman started covering crypto-exchanges with a purchase rating. Shares of Tesla, a major cryptocurrency owner, rose 4.4% despite bitcoin volatility.
Acquired shares that benefit from the reopening of the economy. Shares of American Airlines and United Airlines were traded at least 1% more. The carnival increased by almost 2.7%. The Norwegian cruise line jumped 4.7% after the cruise line operator announced plans to return to cruise the U.S. this summer.
“We continue to see additional data that reinforces our view that when stocks go out of this range, the next step will be significantly larger,” wrote Tom Lee, head of research at Fundstrat Global Advisors. Lee cited data showing a collapse in Covid-19 cases.
Trafficking cases in the U.S. have fallen on their lowest level since June as the nation prepares for Remembrance Day weekend. The seven-day average of new infections since Sunday is about 26,000, according to data collected from Johns Hopkins University.
Wall Street recorded a negative week for the blue-chip Dow and S&P 500, while the market rating stalled. The Dow fell just 0.5% a week, while S&P lost just 0.4%. The Nasdaq Composite, meanwhile, earned 0.31% last week, breaking a four-week losing streak.
Despite last week’s “collapse in crypto markets and rather volatile FOMC minutes, investors bought another drop in capital,” JPMorgan wrote in a note to clients. “This” buy dip “mentality is extremely strong this year and has provided support by preventing small corrections in stocks and risk markets from expanding,” the company added.
The Federal Reserve hinted at its own April meeting to be able to reconsider its easy monetary policy if the economy continues to show signs of rapid improvement, according to the minutes of a meeting released last week.
Through the last full trading week of the month, the Dow is on track to record a profit for May. The S&P 500 was up 0.4% this month. The Nasdaq Composite, which recorded a drop of more than 2% this month, is preparing for its longest string of monthly victories since January 2018, with its first negative month in seven.
“We think the moving / sideways trend will continue a little longer and the market will suffer sales along the way,” noted Adam Crisafulli, founder of Vital Knowledge. “While the stock is absorbing a lot of change well so far, all the breakpoints have yet to be played out.”
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– Reporting was provided by CNBC’s Michael Bloom.