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Stocks rose Monday, building on last week’s gains, as investors attempted to move on from the crisis that broke out in the regional bank sector earlier this month following the collapse of Silicon Valley Bank.
The Dow Jones Industrials surged 192.96 points to 32,430.49.
The S&P 500 took on 16.63 points to 3,987.62. Despite the recent turmoil, the S&P 500 is on track to finish March flat and the first quarter ending on Friday with a 3% increase.
The NASDAQ Composite jumped 29.29 points to 11,853.25.
Regional banks rose broadly, with First Republic the best-performing stock in the fund, surging more than 27%. PacWest also gained more than 6%.
A series of events helped sentiment in the sector. Media reports over the weekend indicated that the deposit outflows from small banks to industry giants like JPMorgan Chase and Wells Fargo has slowed in recent days.
And First Citizens BancShares agreed to buy large parts of Silicon Valley Bank, the U.S. Federal Deposit Insurance Corporation said overnight.
The deal includes the purchase of approximately $72 billion of SVB assets at a discount of $16.5 billion, but around $90 billion in securities and other assets will remain “in receivership for disposition by the FDIC.”
Deutsche Bank also rebounded by 4% after traders last week targeted the German lender after the forced-takeover of Credit Suisse.
Prices for the 10-year Treasury slumbered, raisng yields to 3.49% from Friday’s 3.37%. Treasury prices and yields move in opposite directions.
Oil prices regained $1.53 to $70.79 U.S. a barrel.
Gold prices dulled $32.80 to $1,951.00 U.S. an ounce.
