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Dow, S&P 500 post best days in more than a month; banks lead gains

Reuters  |  NEW YORK 

By Caroline Valetkevitch

NEW YORK (Reuters) - U.S. stocks rose on Monday, giving the Dow and 500 their biggest gains in more than a month, as jumped ahead of earnings reports later this week.

Industrial, and consumer discretionary shares also rose sharply, while utilities and - among the market's recent outperformers - led percentage declines.

The banks index <.SPXBK> climbed 2.7 percent, registering its biggest daily percentage gain since March 26. The financial index <.SPSY> rose 2.3 percent, leading gains among sectors.

, Wells Fargo & Co and are scheduled to report results on Friday, kicking off the second-quarter earnings season in earnest.

"We're on the eve of what's going to be a dynamite earnings season," for the overall, said Bucky Hellwig, at in Birmingham,

A stronger and plans for more buybacks also are helping bank shares, he said.

Investors may also be shifting their focus for now away from trade tensions between the and The two countries slapped tit-for-tat tariffs on $34 billion of each other's goods on Friday.

"The angst going into last Friday was pretty significant, and now, with the realization that we're here and the world hasn't come to an end,... the money is falling in," Hellwig said.

Helping to boost the Dow, rose 4.1 percent. The <.SPLRCI> jumped 1.8 percent. Caterpillar and other industrials have been among hardest hit by recent trade worries.

The <.DJI> rose 320.11 points, or 1.31 percent, to 24,776.59, the S&P 500 <.SPX> gained 24.35 points, or 0.88 percent, to 2,784.17 and the <.IXIC> added 67.81 points, or 0.88 percent, to 7,756.20.

A Lynch research report showed earnings per share for S&P 500 companies for 2018 was revised higher amid better-than-expected first-quarter results, and stronger-than-expected U.S. economic growth.

U.S. analysts' estimates for S&P 500 second-quarter profit growth have risen slightly since April, putting the latest forecast at around 21 percent, according to data.

sank after reported that the company suspended more than 70 million fake accounts in May and June, which analysts said could be negative for user growth, but it pared losses after its tweeted that most accounts Twitter removes are not included in reported metrics. The stock ended down 5.4 percent.

Advancing issues outnumbered declining ones on the NYSE by a 1.77-to-1 ratio; on Nasdaq, a 1.65-to-1 ratio favoured advancers.

The S&P 500 posted 21 new 52-week highs and no new lows; the recorded 142 new highs and 30 new lows.

(Additional reporting by in Bengaluru; Editing by and Susan Thomas)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, July 10 2018. 02:29 IST