Stocks Rise, Led by Materials, Tech Sectors
U.S. stocks rose Monday, lifted by gains in the materials and technology sectors.
Meanwhile, government bond markets showed signs of stabilizing after a two-week selloff.
The Dow Jones Industrial Average rose 22 points, or 0.1%, to 21436. The S&P 500 rose 0.2% and the Nasdaq Composite added 0.4%.
Tech shares, which have bounced around over the past month, climbed 0.7% in the S&P 500. Apple gained 0.8% and Microsoft added 0.6%.
Shares of materials companies in the S&P 500 also rallied, rising 0.8%. Dow Chemical was up 1.3%.
Abercrombie & Fitch shares tumbled 21% after the clothing retailer said discussions to sell itself were off, confirming an earlier report in The Wall Street Journal.
In bond markets, the yield on the 10-year Treasury note fell to 2.377%, according to Tradeweb. That was down from 2.393% on Friday, which was the highest yield in nearly two months. Yields fall as prices rise.
Traders said the recent price declines made the bond market appealing to some investors. Signs of tighter monetary policy ahead had put pressure on government bond markets around the world.
Central banks are likely to remain in focus this week, with the Bank of Canada widely expected to raise rates for the first time in seven years and Federal Reserve Chairwoman Janet Yellen set to offer semiannual testimony before congressional committees on Wednesday and Thursday.
The U.S. second-quarter earnings season will also begin in earnest, with analysts estimating a growth rate of 6.6% across the S&P 500, according to FactSet.
Investors are largely holding their fire until companies start releasing results, leading to quiet trading as markets opened this week, said Karyn Cavanaugh, senior market strategist at Voya Investment Management. "It's jockeying for position ahead of earnings season," she said.
The Stoxx Europe 600 rose 0.4%. Equity markets were broadly higher in Asia after a strong U.S. jobs report Friday boosted the dollar and U.S. stocks, particularly shares of financial companies.
Japan's Nikkei Stock Average rose 0.8% after closing at its lowest level in three weeks on Friday. Hong Kong's Hang Seng added 0.6% as index heavyweight HSBC advanced.
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(END) Dow Jones Newswires
July 10, 2017 13:26 ET (17:26 GMT)