By Anora Mahmudova and Barbara Kollmeyer, MarketWatch
Factory orders climb 2.1% in March, first gain in 8 months
U.S. stocks rose moderately on Monday, with the large-cap
benchmark S&P 500 trading above its previous closing
record.
Investors digested a report on factory orders, which rose 2.1%
in March, mostly in line with expectations. Monday's gains follow
the rally on Friday, when stocks posted their biggest one-day gain
in a month.
The S&P 500 (SPX) rose 10 points, or 0.5%, to 2,118.75 with
all of its 10 main sectors trading higher. Utilities and
health-care stocks were leading gains in early trade.
The Dow Jones Industrial Average (DJI) gained 80 points, or
0.5%, to 18,105.58, while the Nasdaq Composite (RIXF) rose 33
points, or 0.7% to 5,037.
Some of the enthusiasm came from a rally in German stocks. The
German DAX 30 index was up 1.5%, leading gains for European stocks
(http://www.marketwatch.com/story/european-stocks-edge-lower-with-uk-market-closed-2015-05-04)
after the release of robust manufacturing data for the eurozone.
London markets are closed for a bank holiday.
Read: Icahn: Junk bonds now 'even more dangerous' than stock
market
(http://www.marketwatch.com/story/icahn-junk-bonds-now-even-more-dangerous-than-stock-market-2015-05-03)
Data: Orders for goods produced in U.S. factories rose 2.1% in
March. Economists surveyed by MarketWatch had expected orders to
climb 2.4% after a revised 0.1% decline in the prior month.
Chicago Fed President Charles Evans will give a speech in
Columbus, Ind., at 12:25 p.m. Eastern Time, while San Francisco Fed
President John Williams will speak to a small-business trade group
in San Francisco at 3:10 p.m. Eastern.
Wall Street is looking ahead to the nonfarm-payrolls report due
Friday. Forecasters predict job creation in April will bounce back
significantly after a disappointing 126,000 increase in March,
which was the smallest in 15 months.
Read: Roses or thorns? Wall Street awaits pivotal jobs report
for April
(http://www.marketwatch.com/story/roses-or-thorns-wall-street-awaits-pivotal-jobs-report-for-april-2015-05-03)
Stocks to watch: McDonald's Corp. (MCD) shares were slightly
lower after chief executive Steve Easterbrook unveiled turnaround
plan.
Cisco Systems Inc. (CSCO) announced that its longtime head, John
Chambers,
(http://www.marketwatch.com/story/ciscos-john-chamber-to-relinquish-ceo-role-in-july-2015-05-04)
is being replaced in July internally by Chuck Robbins. Shares rose
0.6%.
Comcast Corp.(CMCSA) said it would buy back $6.75 billion in
shares in 2015, as it reported earnings rose in the first quarter.
Shares rose 1.5%.
Read: Media, smaller energy companies provide bulk of results as
earnings taper off
(http://www.marketwatch.com/story/media-smaller-energy-cos-provide-bulk-of-results-as-earnings-taper-off-2015-05-03)
Shares of Charter Communications Inc.(CCMMV) rose 1.7% after The
Wall Street Journal
(http://www.marketwatch.com/story/charter-expresses-interest-in-friendly-deal-talks-with-time-warner-2015-05-03-15103119)
reported, citing sources, that the company has started to approach
the management of Time Warner Cable Inc. (TWC) about a friendly
merger.
(http://www.marketwatch.com/story/icahn-junk-bonds-now-even-more-dangerous-than-stock-market-2015-05-03)Other
markets: China's Shanghai Composite Index , meanwhile, closed
higher on Monday
(http://www.marketwatch.com/story/china-shares-drift-lower-2015-05-03),
recovering from earlier losses after data showed the country's
manufacturing activity slowed more sharply than forecast. Tokyo
markets were closed for a holiday.
The dollar regained some strength on Monday, with the euro
(EURUSD) pulling back to $1.114, a 0.5% drop. Oil prices (CLM5)
also moved higher, along with gold (GCM5).
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