By Hilary Russ
NEW YORK (Reuters) - Wall Street closed higher on Monday as investors appeared less concerned about possible retaliation for U.S.-led missile strikes on Syria, and the yield curve reached its flattest level in over a decade.
Saturday's strikes were the biggest intervention by Western countries against Syrian President Bashar al-Assad, whose ally Russia is facing further U.S. economic sanctions over its role in the conflict.
"The catalyst had been the concern about trade issues, which is calming down. The bombing in Syria looks to be an event rather than an ongoing thing and it was a coalition," said Jeffrey Carbone, managing partner, Cornerstone Wealth, in Huntersville, North Carolina.
"Now we get to concentrate on fundamentals," he said, adding that earnings season is beginning as economic data has shown an accelerating economy.
The news flattened the spread between five- and 30-year Treasury bonds
Expectations of further interest rate increases lifted the short end of the curve earlier in the day, led by the two-year government bond
The Dow Jones Industrial Average <.DJI> rose 212.9 points, or 0.87 percent, to 24,573.04, the S&P 500 <.SPX> gained 21.54 points, or 0.81 percent, to 2,677.84 and the Nasdaq Composite <.IXIC> added 49.64 points, or 0.7 percent, to 7,156.29.
Hopes that the strike against Syria would not escalate also spurred investors to shed the U.S. dollar.
The greenback fell 0.41 percent against a basket of major currencies <.DXY>, while the euro
European shares eased, adding to a mixed picture from lower Asian stock markets and suggesting that a degree of caution remains.
The pan-European FTSEurofirst 300 index <.FTEU3> lost 0.46 percent. MSCI's gauge of stocks across the globe <.MIWD00000PUS>, which tracks shares in 47 countries, gained 0.39 percent, though emerging market stocks dipped 0.58 percent.
The yields on German
That was partly as attention turned to what is expected to be a robust first-quarter U.S. corporate earnings season, which begins in earnest this week.
Some other traditional safe-haven bets held firmer, with gold
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)