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Dow leads gains as stocks angle for first steps in recovery

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All three of the US market averages (^DJI, ^IXIC, ^GSPC) closed Monday's session slightly higher, the Dow Jones Industrial Average leading daily gains by rising 0.85%.

Market Domination Overtime anchor Julie Hyman and Yahoo Finance markets and data editor Jared Blikre recap the day's market and sector gains ahead of the Federal Reserve's March FOMC meeting later this week.

To watch more expert insights and analysis on the latest market action, check out more Market Domination Overtime here.

00:00 Speaker A

the major averages ended the day and that is higher across the board, which was not a given, um, at various points during the session. We did see in particular the Nasdaq kind of flirting with negative. We had some, uh, data this morning, economic data that wasn't great. Um, confidence among home builders, uh, falling here. Retail sales coming in with a smaller gain than had been estimated. Manufacturing in the New York region also showing a slump. All of that said, stocks stabilizing and moving higher here for the second straight session. The Dow up by 353 points, up about nine tenths of 1%. The S&P up almost two-thirds of 1%. And the Nasdaq, which as I mentioned, kind of struggled here midday with a lot of the megacaps, uh, megacap tech stocks not doing well, then largely recovering, were recovering to some degree by the end of the day with a third of a percent gain. Jared's got a closer look now at today's action. Hey, Jared.

01:44 Jared

Thank you, Julie. Today, well, let me just bring it back to Friday. This is the best two-day stretch that we've seen since just after the election. So you got to go back to that November 6th, November 7th rally that we had. And that was substantial at the time. So this is substantial as well. And it's nice because it comes, uh, the prior three Mondays have all been down days. Two of them have been really bad. And Julie, you and I are going to talk about this more in about 30 minutes. Uh, but you go down the line here and we're seeing some positive returns, which is a change, uh, from recent history, at least over the last two days. Uh, here's the VIX. VIX is coming down too. Still holding it over 20 right there, but I'll show you the year to date so you can see it has come down from almost 30 up there. So that's a nice movement, relieving, uh, uh, taking some pressure off. And we can also see in the bond volatility that has come off of its high as well. And let's take a look at the 10-year T-note yield, that is down just a fraction of one basis point. So basically unchanged there. US dollar index, uh, down about a third of a percent. And that is flirting with the lows of the year. So that's something that we want to monitor if it drops too quickly. Sometimes that's not always, uh, risk on, but generally a lower dollar is supportive of risk assets. And let's get here to our sector action. And I'm going to put this on an intraday basis. There we go. All 11 sectors in the green here, led by real estate. So the interest rate sensitive sector was first, even though we didn't have much going on with rates. Energy second, then staples, then industrials. So, uh, pretty healthy mix here, interesting mix. And if we take a look at the Nasdaq 100 and the Nasdaq, kind of the laggard of the day, you can see some of the weakness that Julie was talking about in here. Tesla down almost 5%. And then a lot of these mega caps not down a lot, but, uh, enough to tilt things. And let's finally leave this on the Dow here. Aside from a couple big ones and American Express, we're seeing a lot of green here. Just kind of illustrating that today was more bullish than bearish.