U.S. Stocks Showing Strong Move Back To The Upside
Stocks have shown a strong move back to the upside during trading on Monday, rebounding following the sharp pullback seen last Friday.
Currently, the Dow is up 289.55 points or 0.9 percent at 33,189.25, the Nasdaq is up 223.13 points or 1.9 percent at 12,235.86 and the S&P 500 is up 55.10 points or 1.3 percent at 4,163.64.
Strength in overseas markets has carried over on to Wall Street amid reports of a possible U.S. tariff cut on Chinese goods.
Trading activity may be somewhat subdued, however, with a lack of major U.S. economic data keeping some traders on the sidelines.
A report on consumer price inflation, due to be released later in the week, is likely to be in the spotlight as traders focus on the Federal Reserve’s monetary policy tightening.
Brokerage stocks have shown a substantial move back to the upside, driving the NYSE Arca Broker/Dealer Index up by 2.5 percent.
Significant strength is also visible among tobacco stocks, as reflected by the 2.4 percent jump by the NYSE Arca Tobacco Index.
Retail, networking and semiconductor stocks are also seeing considerable strength amid broad based buying interest on Wall Street.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Monday. Japan’s Nikkei 225 Index rose by 0.6 percent, while China’s Shanghai Composite Index jumped by 1.3 percent.
The major European markets have all moved to the upside on the day. While the French CAC 40 Index is up by 1.6 percent, the U.K.’s FTSE 100 Index is up by 1.5 percent and the German DAX Index is up by 1.4 percent.
In the bond market, treasuries have shown a notable move to the downside amid the strength on Wall Street. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is up by 5 basis points at 3.007 percent.
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