Wall Street ended on a high note the last session of a volatile January that plunged the Nasdaq into a correction zone.
According to final closing results, the Dow Jones index gained 1.17% to 35,131.86 points. The tech-dominant Nasdaq rose 3.41% to 14,239.88 points, and the S&P 500 composite advanced 1.89% to 4,515.55 points.
“We have extended the rally that occurred on Friday. Two factors came into play: first, the market was oversold, and second, investors are starting to focus on corporate earnings now that the Federal Reserve (Fed, bank central US) is out of the picture,” said Peter Cardillo of Spartan Capital Securities.
On Friday, the indicators had started to rise while since the beginning of the year the markets had been shaken by the plans to increase interest rates from the Fed.
Jerome Powell, chairman of the Federal Reserve, confirmed on Wednesday a possible rate hike in the month of March.
At Monday’s open, the Dow Jones lost 4.4% for the month, the S&P 500 7% and the Nasdaq 12%.
However, stocks quickly returned to positive territory after a mixed open and all eleven S&P sectors were in the green at the close, led by consumer products (+3.31%), information technology (+1.97 %) and communication services (+1.89%).
vmt/eb/gm/cjc/atm
www.elfinancierocr.com