Market Recap: Retail Report Sends Stocks Higher
Markets closed up today:
▲ Dow: +0.72 percent
▲ Nasdaq: +0.66 percent
▲ S&P: +0.81 percent
▼ Gold: -1.01 percent to $1,736.20 an ounce
▼Silver: -2.43 percent to settle at $32.67
▲ Oil: +0.01 percent
Stocks were up because:
Stocks rose on Monday after a strong gain in retail spending suggested that consumers are comfortable spending more money. Bank stocks rose broadly after Citigroup delivered a strong earnings report.
The Dow Jones industrial average rose 95.38 points to close at 13,424.23, its biggest gain since Sept. 13.
The Standard & Poor’s 500 index was up 11.54 points at 1,440.13 and the Nasdaq composite index rose 20.07 points to 3,064.18.
Companies that rely on consumer spending, like Lowe’s, TJX Cos. and Yum Brands, rose after the government reported that retail sales rose 1.1 percent in the U.S. last month. The Commerce Department also revised August growth up to 1.2 percent, marking the two largest gains since October 2010.
Sales rose in most major categories. Electronics and appliances jumped 4.5 percent with help from the new iPhone. Sales at auto dealers increased 1.3 percent. Building materials and garden supplies, furniture and clothing sales all gained, too.
Citigroup rose $1.91, or 5.5 percent, to $36.66 after beating beat Wall Street earnings estimates.
Most other financial stocks followed Citi higher. Bank of America rose 3.5 percent, and JPMorgan Chase rose 1.8 percent. However, Wells Fargo continued to struggle after reporting a record profit on Friday. Analysts warned it might have trouble making money on interest payments for loans. Its stock fell 1 percent on Monday, after dropping on Friday, too.
Economic figures from China helped support markets in Europe at the start of a week that could offer greater clarity on the economic fates of Greece and Spain.
China’s inflation rate fell to 1.9 percent in September from 2 percent the month before, reinforcing investor hopes for more stimulus in the world’s second-largest economy.
Good news for two major drugmakers boosted pharmaceutical stocks and pushed the whole health sector to the biggest gains among 10 industry groups in the S&P 500.
Telecommunications stocks were the only declining industry among the 10 in the S&P 500.
Investors sold government bonds and drove yields slightly higher. The yield on the 10-year U.S. Treasury note rose to 1.67 percent from 1.66 percent Friday.
The price of crude oil fell a penny to finish at $91.85 on the New York Mercantile Exchange.
The Associated Press contributed to this report.
Benghazi, IRS, AP...What's next? Only TheBlaze TV offers the truth from Glenn Beck, Andrew Wilkow, and Real News from TheBlaze. Get instant access and a free trial here.
- John McCain Lectures Tea Party Senator on How ‘Business’ Gets Done in Congress: ‘That’s What We’ve Been Doing for a Couple Hundred Years’ 577 Comments
- Boy Scouts of America Vote to Allow Gay Members 511 Comments
- Pope Francis’ Sermon Sparks Debate: ‘Even the Atheists’ Have Been Redeemed ‘With the Blood of Christ’ 492 Comments
- Obama Doesn’t Return Marine’s Salute, Shakes Hand Instead — Is This a Protocol Misstep? 382 Comments
- Piers Morgan Bans Dana Loesch From His Show Following Twitter Spat: ‘Show Some Bloody Respect’ 335 Comments
- Game-Changing Bombshell? There’s a Major Twist in the Story About a High School Student’s Lesbian Relationship With a Minor 305 Comments
- Is the Boy Scouts’ Gay Amendment the ‘Beginning of the End’ for the Group? (Plus: Tell Us Where You Stand) 264 Comments
- MSNBC Hosts Martin Bashir and Chris Hayes Claim London Machete Killers Aren’t Terrorists: ‘These Are Just Murderers’ 148 Comments
- Did You Catch the Possibly Policy-Changing Ft. Hood Reference in Obama’s Terror Speech? Read More
- Dem. Rep. Apologizes for Attending ‘Racist, Anti-Semitic and Homophobic’ Speech Read More
- Have You Had Scotch at a NJ TGI Friday’s Lately? You Might Have Been Drinking Rubbing Alcohol Read More
- Venezuelan President Blames Toilet Paper Shortage on the Rich Read More
- This Terrible Chart Shows the Change in Food Stamp Participation Over the Last 10 Years Read More
- Disney Makes Absolutely Mortifying Photoshop Mistake Read More
- Trey Gowdy at It Again — This Time with a Jack Bauer Reference! 117 Comments
- LOOK: Woman Claims to Have Photographed UFO in California Read More
- Lion Named ‘Bonedigger’ and Small Dog Make Most Unlikely Companions Read More
- Rocket Bike Sets Land Speed Record — and Uses a Fuel You Wouldn’t Expect Read More
- How 3D Printing Technology Created a Special Part for Baby’s Windpipe and Saved His Life Read More
- 6 Fascinating Spy Gadgets You’ll Probably Want (and Can Have) After Seeing Read More
- Penguins rip Ottawa 6-2, move to conference finals
- NKorean envoy delivers letter to China's president
- Sanchez loses no-hit bid in 9th, Tigers beat Twins
- Zimmermann wins 8th; Nationals top Phillies 5-2
- Ex-Guatemala president extradited to US
- Calif. teen takes supermodel to prom
- Kuchar leads Colonial when 2nd round suspended
- Judge: Ariz. sheriff's office profiles Latinos