U.S. stocks celebrated the first trading day of the month with a broad and volatile rally despite ongoing uncertainty on Capitol Hill.
The Dow Jones Industrial Average rose 483 points, or 1.4%, earning back some of Thursday's losses. The S&P 500 index and Nasdaq Composite jumped 1.1% and 0.8%, respectively. Still, all three posted losses for the week.
|I:DJI||DOW JONES AVERAGES||35741.15||+64.13||+0.18%|
|I:COMP||NASDAQ COMPOSITE INDEX||15226.706157||+136.51||+0.90%|
The tech-heavy Nasdaq snapped a five-day losing streak helped by Apple, Microsoft and Intel.
Oil also moved higher, gaining 2.57% to $75.88 per barrel.
|USO||UNITED STATES OIL FUND L.P.||57.83||-0.20||-0.34%|
Dow member Merck remained higher after the company said it will seek emergency approval for its COVID-19 antiviral pill. Atea Pharmaceuticals, a smaller biotech firm that also has a similar pill, rose in tandem.
|MRK||MERCK & CO., INC.||81.66||+0.51||+0.63%|
|AVIR||ATEA PHARMACEUTICALS INC.||12.72||-0.01||-0.08%|
In other vaccine news, Moderna and Japan's Takeda disclosed the cause of foreign particles discovered in their COVID-19 vaccine that prompted a recall.
"This was the result of incorrect assembly and was due to human error," the companies said in a joint statement following an investigation.
In deal news, Zoom and Five9 scrapped their $15 billion deal.
|ZM||ZOOM VIDEO COMMUNICATIONS, INC.||279.79||+2.21||+0.80%|
"At Five9’s special meeting of stockholders held on September 30, 2021, Five9 did not obtain the requisite stockholder support for the merger agreement. As a result, Zoom and Five9 each had the ability to terminate the merger agreement," according to Zoom.
Shares of Lordstown Motors were also in focus. The company confirmed it will sell the former GM factory in Ohio to Foxconn for $230 million.
On the economic front, consumer spending rose 0.8% in August, up from a decline of 0.1% in July. Income rose by a smaller 0.2%, according to the Commerce Department.
Consumer prices increased 0.4% in August from July, the same increase as the previous month. In the past year, prices rose 4.3%, up slightly from the previous month and the highest in more than three decades. Excluding the volatile food and energy categories, core inflation increased 0.3% in August and 3.6% from a year earlier, the same figures as the previous month. The unchanged readings are a sign inflation could be leveling off, as noted by The Associated Press.