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The Dow Jones Industrial Average jumped Monday, clawing back some of the steep losses from the previous week, as traders looked ahead to a highly anticipated Federal Reserve meeting and new inflation data.
The 30-stock index popped 528.58 points, or 1.6%, to 34,005.04. That was its first close over 34,000 since Dec. 2
The S&P 500 gathered 56.18 points, or 1.4%, to 3,990.56
The NASDAQ Composite Index surged 139.12 points, or 1.3%, to 11,143,74.
A lift in Boeing shares pushed the Dow higher following reports that the airline is close to a deal with Air India. Elsewhere, energy stocks rose as oil prices steadied, following several weeks of declines.
A slew of deal-making activity boosted sentiment. Coupa Software and Horizon Therapeutics were among biggest movers on Monday after the companies announced they’ve agreed to be bought. Shares of Coupa gained 26%, while Horizon added 15%.
Meanwhile, a New York Fed survey showed consumers had grown more optimistic about inflation in November. The bank’s survey of Consumer Expectations showed consumers expected one-year inflation to run at a 5.2% pace, down 0.7 percentage point from October.
Wall Street is coming off a rocky week that saw all three major averages lose ground. The Dow had its worst weekly loss since September, dumping 2.8%, and S&P 500 fell 3.4%. The NASDAQ dropped 4%.
The moves come as investors remain focused on inflation. On Tuesday, the November consumer price index will be released and traders will be looking for a sign that inflation is slowing.
The Federal Reserve has a two-day meeting starting the same day. The central bank is expected to announce another rate hike on Wednesday, though traders are anticipating a smaller move than in recent months.
Prices for the 10-year Treasury were lower, raising yields to 3.62% from Friday’s 3.59%. Treasury prices and yields move in opposite directions.
Oil prices picked up $2.43 to $73.45 U.S. a barrel.
Gold prices lost $18.20 to $1,792.50 U.S. an ounce.
