WASHINGTON (dpa-AFX) - Stocks moved sharply higher during trading on Monday, regaining ground following the considerable weakness seen in the previous week. The major averages all moved to the upside on the day, with the tech-heavy Nasdaq leading the charge.
The major averages ended the day just off their highs of the session. The Nasdaq surged 522.64 points or 2.3 percent to 23,527.17, the S&P 500 jumped 103.63 points or 1.5 percent to 6,832.43 and the Dow advanced 381.53 points or 0.8 percent to 47,368.63.
The rally on Wall Street came after the Senate voted to advance legislation to end the government shutdown, which recently became the longest in U.S. history.
The Senate voted 60-40 in favor of a temporary funding bill, which would also reverse some of the recent mass federal layoffs.
Several Democratic Senators broke with party leaders in favor of moving forward with the legislation, as it does call for a vote on the extension of enhanced Obamacare tax credits.
Final approval of the bill could be delayed by any one Senator, and the legislation still needs to be approved the Republican-controlled House of Representatives.
While the markets have largely shrugged off concerns about the shutdown in recent weeks, the news still seems to have led some traders to pick up stocks at somewhat reduced levels following recent valuation worries.
The end of the shutdown would also lead to the resumption of the release of key U.S. economic data that has recently been withheld.
'A key impact on the markets of the impasse, beyond the hit to the wider economy, has been the lack of data as key releases on areas like the jobs market have been delayed,' said AJ Bell investment director Russ Mould.
'This has created a considerable dose of the uncertainty which markets famously hate and it is also hampering the ability of the Federal Reserve to make informed decisions on interest rates,' he added. 'In this context, it's not a surprise to see investors react positively to signs of progress.'
Sector News
Gold stocks moved sharply higher along with the price of the precious metal, with the NYSE Arca Gold Bugs Index spiking by 4.8 percent.
Computer hardware, semiconductor and software stocks also saw substantial strength on the day, contributing to the surge by the Nasdaq.
Pharmaceutical, oil service and networking stocks also turned in strong performances, while airline stocks showed a notable move to the downside.
Other Markets
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Monday. Japan's Nikkei 225 Index surged by 1.3 percent, while South Korea's Kospi spiked by 3.0 percent and China's Shanghai Composite Index rose by 0.5 percent.
The major European markets also moved to the upside on the day. While the German DAX Index shot up 1.7 percent, the French CAC 40 Index jumped by 1.3 percent and the U.K.'s FTSE 100 Index advanced by 1,1 percent.
In the bond market, treasuries saw modest weakness after ending the last Friday's trading roughly flat. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, rose by 1.7 basis points to 4.110 percent.
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