- S&P 500 Index closes at 2,114.49, up 0.3%.
- Markets turn their attention to April nonfarm payrolls as earnings season continues.
- Rate hike not appropriate until next year, according to Fed Bank of San Francisco President Charles Evans.
US stocks rallied on Monday, with the benchmark S&P 500 extending Friday’s record high as investors turned their attention to economic data and quarterly earnings.
The S&P 500 Index climbed 0.3 percent or 6.2 points to 2,114.49, as eight of its ten main sectors reported gains. The large-cap benchmark closed at an all-time record high on Friday.
The Dow Jones Industrial Average (DJI) climbed 0.3 percent or 46.34 points to 18,070.40 after rallying more than 100 points on Friday. The NASDAQ Composite Index was up 0.2 percent or 11.54 points to 5,016.93 after closing above 5,000 at the end of last week.
US factory orders rose for the first time in eight months, the Commerce Department reported on Monday. Factory orders rose 2.1 percent, slightly above forecasts, following a drop of 0.1 percent in February that was originally reported as a gain.
Investors are quickly turning their attention to Friday’s nonfarm payrolls report, which is expected to show the creation of more than 200,000 jobs in April. The ADP Institute will release an advance estimate of private payroll growth on Wednesday.
Earnings Season Continues
EOG Resources (NYSE: EOG) and Tenet Healthcare (NYSE: THC) are among the companies that will report quarterly earnings after the bell.
Chicago Fed President Charles Evans said on Monday that raising interest rates would not be appropriate until next year, as a weak first quarter provides enough scope for policymakers to keep monetary policy highly accommodative for the time being. Economic growth slowed to just 0.2 percent annually in the first quarter, official data showed last week.
Fed Bank of San Francisco President John Williams will also deliver a speech later in the day. Federal Reserve Bank of Minneapolis head Narayana Kocherlakota is also scheduled to speak on Wednesday, followed by Dennis Lockhart (Atlanta) later in the week.