We finally saw the bulls come out of hiding on Wall Street Monday! U.S. stocks rebounded from last week's painful selloff, but it wasn't a smooth ride! The Dow closed up 106 points, after crossing the "unchanged" line 106 times! The S&P gained almost 10 points, and the Nasdaq jumped 18 points, swinging back into positive territory for the year.
Oil prices also rebounded, settling above $36 a barrel after falling below $35 earlier in the session on concerns that Iran is over-producing, along with concern that this weekend's climate deal in Paris will hit oil demand over the long-term.
Regardless of oil snapping its 6-day losing streak, oil stocks continued to get slammed. One-third of the oil-related stocks in the S&P 500 touched their lowest levels in at least a year.
Junk bonds still feelings jitters! A pair of widely-owned ETFs that track the corporate junk bond market hit multi-year lows Monday. Barclays' high-yield bond ETF hit its lowest point since May 2009, and iShares' corporate bond ETF fell to its lowest level since October 2011.
Speaking of jitters, activist investor Dan Loeb is circling Dow Chemical's (NYSE:DOW) CEO after the company announced a $130 billion dollar merger with DuPont (NYSE:DFT) Friday. Loeb reportedly wrote a letter to Dow's board, pushing for the removal of CEO Andrew Liveris. The news sent Dow Chemical down almost 4%. Loeb's Third Point (NYSE:TPRE) has a roughly 2% stake in Dow and is complaining that Liveris mis-manged company finances.