US Stocks Advance, Dow Jones, S&P 500 Score Record Closing Highs

NEW YORK, Oct 15 (Bernama-Xinhua) -- US stocks ended higher on Monday, as investors eagerly awaited the next round of corporate earnings to see if they could maintain the market's upward momentum, reported Xinhua.

The Dow Jones Industrial Average rose 201.36 points, or 0.47 per cent, to 43,065.22, logging record closing highs. The S&P 500 added 44.82 points, or 0.77 per cent, to 5,859.85, also hitting a fresh record again. The Nasdaq Composite Index increased 159.75 points, or 0.87 per cent, to 18,502.69.

Ten of the 11 primary S&P 500 sectors ended in green, with technology and utilities leading the gainers by going up 1.36 per cent and 1.29 per cent, respectively. Meanwhile, energy bucked the trend by dropping 0.10 per cent.

Focus remained on major banks, with Goldman Sachs, Citigroup and Bank of America set to release their earnings on Tuesday, followed by Morgan Stanley on Wednesday. This will come after strong reports from JPMorgan Chase and Wells Fargo last week, which signalled a potential rebound in banking profits and helped propel the broader market to new highs.

Despite the market hitting new all-time highs, investor anxiety lingered as they faced a range of uncertainties. With a closely contested presidential election just three weeks away, rising US Treasury yields, unclear signals about the pace of Federal Reserve policy easing, and escalating geopolitical risks in the Middle East, the path forward remained fraught with tension. These factors continued to weigh on market sentiment, even as equities pushed to new heights.

"All-time-highs sentiment is maybe a little stretched, so it wouldn't be surprising -- especially in the last three or four weeks before an election -- to see some volatility return," said Baird investment strategy analyst Ross Mayfield.

"Over a three- or six-month-plus time horizon we're still pretty bullish just on the idea of lower rates for the right reason, soft landing in the economy and earnings growth."

Moreover, Fed Governor Chris Waller stated on Monday that the unexpected strength of the US economy calls for the central bank to "proceed with more caution" when cutting interest rates.

"The economy is 'much stronger than previously thought' and the 'labour market remains quite healthy,'" Waller said.  

-- BERNAMA-XINHUA