The S&P 500 wiped out all its 2020 losses on Monday as traders grew more optimistic about the prospects of an economic recovery while states continue to reopen.
The Dow Jones Industrials powered 461.46 points, or 1.7%, to close Monday at 27,572.44, trimming its 2020 losses to 3.3%.
The S&P 500 prospered 38.46 points, or 1.2%, to 3,232.39, turning positive for the year after bouncing about 47% off its March low.
The NASDAQ shot higher 110.66 points to 9,924.75, hitting a fresh record high and bringing its year-to-date gains to 10.6%.
Stocks tied to the reopening of the economy, including airlines, retailers and cruise lines, led the gains once again. United Airlines was up 14.8%, while American Airlines jumped 9.2%, while Kohl’s added 8.4%. Shares of Carnival Corp. were up 15.8%.
Investors will be concentrating on the Federal Reserve’s statement on interest rates Wednesday and a press conference from Chairman Jerome Powell. The Fed is expected to reiterate its commitment to unlimited asset purchases to keep markets functioning.
Prices for the 10-Year Treasury were higher, lowering yields to 0.87 from Friday’s 0.88%. Treasury prices and yields move in opposite directions.
Oil prices lopped off $1.33 to $38.22 U.S. a barrel.
Gold prices regained $23.30 to $1,706.30 U.S. an ounce.