Dow, S&P 500 Reach New Record Highs On Strong Economic Data
WASHINGTON (dpa-AFX) - With traders returning to their desks following the long holiday weekend, stocks have moved mostly higher in morning trading on Monday. The advance on the day has lifted the Dow and the S&P 500 to new record intraday highs.
In recent trading, the major averages have reached new highs for the session. The Dow is up 362.78 points or 1.1 percent at 33,515.99, the Nasdaq is up 180.01 points or 1.3 percent at 13,660.12 and the S&P 500 is up 49.95 points or 1.2 percent at 4,069.82.
The rally on Wall Street comes as traders finally have an opportunity to react to the monthly jobs report, which was released while the markets were closed on Friday.
®.
The report was issued today by Anthony Nieves, CPSM, C.P.M., A.P.P., CFPM, Chair of the Institute for Supply Management
® (ISM
®) Services Business Survey Committee: The Services PMI
® registered an all-time high of 63.7 percent, 8.4 percentage points higher than the February reading of 55.3 percent. The previous high was in October 2018, when the Services PMI
® registered 60.9 percent. The March reading indicates the 10th straight month of growth for the services sector, which has expanded for all but two of the last 134 months.
Nieves continues, For further historical context, the Services PMI
® debuted as the Non-Manufacturing NMI
® in 2008, although subindex data was collected for years in advance. In August 1997, the four subindexes Business Activity, New Orders, Employment and Supplier Deliveries that make up the Services PMI
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The Institute for Supply Management s services gauge hit a record high in March as the country reopened.
Services count for 70% of US output, meaning the March rebound underscores a strong recovery.
The headline index rose to 63.7 from 55.3, beating all economist forecasts.
After the freeze, comes the thaw. For the US economy, the pandemic era stopped the all-important service sector in its tracks. Now a spring thaw is emerging in more ways than one.
The Institute for Supply Management s index of service businesses rose to 63.7 last month from 55.3, according to a Monday release. The level surpasses the previous record set in October 2018 and implies the fastest rate of expansion since data collection began in 1997. The reading also beat all estimates from economists surveyed by Bloomberg.
Treasuries Move To The Downside Following Strong Economic Data
WASHINGTON (dpa-AFX) - Following the rebound seen in the previous session, treasuries moved back to the downside as trading resumed on Monday.
Bond prices regained some ground after an initial drop but remained firmly in negative territory. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, climbed 4.1 basis points to 1.720 percent.
The weakness among treasuries came as the release of strong U.S. economic data reduced the appeal of safe havens such as bonds.
The Labor Department s closely watched jobs report, which was released while the markets were closed on Friday, showed employment in the U.S. spiked by much more than expected in the month of March.