Stocks Hold Gains as Investor Optimism Brims
NEW YORK (TheStreet) -- The Dow Jones Industrial Average wavered in the final hour of trading but still managed to finish Monday with a gain for the first time since May.
Investor optimism stemming from last week's better than expected jobs report carried over into Monday's quiet session with traders getting no new domestic economic data to chew over and few earnings headlines to key on as second-quarter reporting season winds down.
The Dow closed up more than 21 points, or 0.16%, at 13,117.51, sliding back after running as high as 13,187 earlier in the session. Thanks to Friday's mega-rally after nonfarm payrolls increased by 163,000 in July, the blue-chip index is riding a four-week winning streak, its longest since a five-week stretch of gains in October 2011.
The S&P 500 rose more than 3 points, or 0.23%, to close at 1394. The index rose as high as 1399.63, stalling out just below 1400, a level it hasn't reached on an intraday basis since May 3.
Basic materials, consumer cyclicals and technology were the strongest sectors in the broad market, while consumer non-cyclicals, transportation and utilities were weak spots.
The Nasdaq was the big winner, advancing 22 points, or 0.74%, to settle at 2990. The tech-heavy index topped out at 3000.24, breaking above that level on an intraday basis for the first time since May 4. Apple(AAPL) rose 1.1% to finish at $622.55.
Winners outpaced losers by a roughly 2-to-1 ratio on the New York Stock Exchange and 1.5-to-1 on the Nasdaq.
Paul Nolte, managing partner at Dearborn Partners, cautioned investors this rally hasn't been confirmed by heavy trading action as global slowdown fears persist.