NYSE (Photo : REUTERS/Lucas Jackson)
After a roller-coaster start, Dow finally ended up with more than a 115 points rally thanks to the weak monthly jobs report that came out on Friday. Rising crude oil prices and a stronger dollar helped the market to ease, too.
The Weak monthly jobs report for March came out on Friday. Data showed that the U.S. employers added the least number of jobs in the last month in over a year.
That implied that the Federal Reserve won't raise the interest rates any time soon till June.
"The weekend allowed market participants to see the positive side of the weak Friday (jobs) number, which is that rates probably aren't going to rise very quickly," said LibertyView Capital Management president Rick Meckler.
Crude oil jumped over 6 percent Monday as Saudi Arabia increased crude oil prices to Asia. Brent crude, the global oil prices benchmark, added over 5 percent to reach $57.80 a barrel, for May 15 delivery, on the London ICE Futures Exchange, according to International Business Times.
The U.S. dollar rebounded, gaining more than 0.6 percent to reach USD 97.20 against some top world currencies.
These factors resulted in a 117 point Dow Jones Industrial Average rally. The S&P 500 gained 13.66 points, and the Nasdaq Composite Index accumulated 30.38 points. Meanwhile, advancing ones overtook declining issues on the NYSE by 2,217 to 836. The Nasdaq saw 1,505 issues rise while 1,262 fell.
The benchmark S&P 500 index saw 24 new annual highs and 3 new lows; the Nasdaq Composite registered 74 new highs and 25 new lows, according to a NDTV report.
Tesla Motors Inc led the rally with a 6.3 per cent gain to reach USD 203.10 after it announced more than 50 percent hike in deliveries. Microsoft gained more than 3 percent.
Also, energy majors Chevron Corporation and Exxon Mobil Corporation gained 1.5 percent and 0.98 percent respectively.
The market behaved rather unpredictably on Monday as investors took time to estimate the reality. It went down and then moved up abruptly.
"The market is a fickle girlfriend. Fickle in what and how she focuses her attention upon to either rally us up, or send us spiraling down," , senior vice president at Cuttone & Co. Inc. Keith Bliss said.
