Stocks have moved mostly higher over the course of the trading day on Monday, recovering from an early move to the downside. The turnaround by the markets extends a recent trend of traders buying on early dips, often leading to a higher close.
The major averages have seen some further upside in recent trading, reaching new highs for the session. The Dow is up 25.17 points or 0.2 percent at 15,379.57, the Nasdaq is up 8.43 points or 0.2 percent at 3,507.40 and the S&P 500 is up 3.93 points or 0.2 percent at 1,671.40.
The early weakness on Wall Street came as some traders looked to cash in on the recent strength in the markets, which lifted the Dow and the S&P 500 to new record high last Friday.
Selling pressure was relatively subdued, however, as traders remained reluctant to sell stocks and miss out on any further downside.
The subsequent turnaround by the markets largely reflects strength that has emerged among resource stocks, with gold stocks moving sharply higher on the day.
Nonetheless, trading activity remains relatively light as traders look ahead to the release of key reports on new and existing home sales, weekly jobless claims, and durable goods orders later in the week.
Comments from Federal Reserve Chairman Ben Bernanke are also likely to be in focus later in the week, with the Fed chief due to testify before the Joint Economic Committee of Congress on Wednesday.
Among individual stocks, shares of Yahoo (YHOO) have moved moderately higher after the online media giant announced an agreement to acquire popular blogging service Tumblr for $1.1 billion, mostly in cash. Yahoo said Tumblr will be independently operated as a separate business.
Internet security company Websense (WBSN) is moving sharply higher after agreeing to be acquired by private equity firm Vista Equity Partners for approximately $1 billion. The deal values Websense at $24.75 per share, a 29 percent premium to its closing price on Friday.
On the other hand, shares of QLogic (QLGC) have come under pressure after the network infrastructure provider said Simon Biddiscombe has resigned his positions as president and chief executive officer in order to pursue other opportunities.
Sector News
As mentioned above, gold stocks have shown a strong move to the upside on the day, recovering from the sell-off that was seen last week. The NYSE Arca Gold Bugs Index has advanced by 2 percent, bouncing off its worst closing level in well over four years.
The rebound by gold stocks comes despite a continued decrease by the price of the precious metal, with gold for June delivery slipping $1.40 to $1,363.30 an ounce.
Considerable strength has also emerged among natural gas stocks, which are moving higher along with the price of natural gas. With natural gas for June delivery climbing $0.079 to $4.134 per million BTUs, the NYSE Arca Natural Gas Index is up by 1.7 percent.
Electronic storage, oil, and banking stocks are also seeing some strength on the day, while most of the other major sectors are showing only modest moves.
Other Markets
In overseas trading, stock markets across the Asia-Pacific region moved notably higher during trading on Monday. Japan's Nikkei 225 Index advanced by 1.5 percent, while Hong Kong's Hang Seng Index surged up by 1.8 percent.
The major European markets also moved to the upside over the course of the trading day. While the German DAX Index ended the day up by 0.7 percent, the U.K.'s FTSE 100 Index and the French CAC 40 Index both rose by 0.5 percent.
In the bond market, treasuries have turned lower on the day after seeing early strength. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, is up by less than a basis point at 1.956 percent after hitting a low of 1.919 percent.
For comments and feedback contact: editorial@rttnews.com
Business News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.