U.S. Stocks Stay Higher on Positive News
Stocks rebounded on Monday, snapping a two-day losing streak, after a bigger-than-expected rise in March retail sales offered signs that economic growth was on better footing following a difficult winter.
Investors, meanwhile, were encouraged by strong earnings from banking giant Citigroup Inc. (NYSE:C).
The Dow Jones Composite gained 138 points, or 0.9%, to 16165. The S&P 500 rose 15 points, or 0.8%, to 1831.
The Nasdaq advanced 33 points, or 0.8%, to 4033.
Stocks got a boost after the Commerce Department reported that retail sales rose 1.1% last month, the biggest monthly gain since September 2012 and exceeding the 0.8% expected by economists. Excluding auto sales, retail sales grew 0.7%, topping forecasts of a 0.4% rise. The strong increase suggests that sales are bouncing back after the cold winter kept many consumers at home earlier in the year.
"Things are a little bit better on the earnings front and a little bit better on the economic front," said Michael Arone, who heads portfolio strategy at State Street Global Advisors, which manages about $2.4 trillion. "Coming off that spring thaw, we're seeing some good numbers."
Technically Dow jones is bouncing off its trend line at the 16000 level and as we anticipated that Dow jones will give us a strong correction at the 16000 psychological level and that what Dow jones has done. We can Expect Down to reach to the previous highs of 16600 level.