YAHOO [BRIEFING.COM]: In
contrast to the past couple of sessions, stocks managed to maintain solid gains
into the close on Monday. The advance was broad based, but financials lagged
from the start.
A dip by the dollar helped
bring buyers into the stock market and keep the bullish trend intact. The
greenback fell 0.4% against competing currencies; it was never able to muster
an actual gain against the basket.
The dollar's decline proved
particularly beneficial for energy stocks, which led for the entire session and
settled with a 1.8% gain. Higher oil prices helped the energy space; contracts
closed pit trade with crude oil priced 2.7% higher at $82.16 per barrel. Though
no specific price was given, an OPEC chief stated that oil prices will not be
allowed to rise too high, according to The Wall Street Journal.
Oil wasn't the only commodity
to attract buyers, though. Broad-based interest for natural resources spurred
the CRB Commodity Index to a 2.1% gain, which was its best single-session
percentage advance in more than one month.
Strength among commodities and
basic materials helped diversified metals and mining stocks spike a collective
4.7% higher. That sort of support helped the broader materials sector
outperform, though it eased back a bit to finish with a 0.9% gain, which
was even with what health care and industrials scored.
Though the stock market traded
with relatively steady gains for most of the session, financials oscillated
between positive and negative territory, lagging all the while. Still, the
sector managed to finish with a 0.2% gain as it struggled to hold near the
52-week high that it set last week. Many market pundits have long pointed to
the financial sector as a necessary source of support for continued gains in
the broader market.
Economic data is also a key
catalyst for trade, but the latest dose did little for participants. According
to figures, consumption expenditures in February increased 0.3%, as expected,
while core personal consumption expenditures were flat, which was not too much
of a surprise since the consensus had called for a tepid 0.1% increase. Total
and disposable income posted no growth in February -- a 0.1% increase had been
expected.
Broad-based strength was seen
in commodities this session. A weak dollar exacerbated today's move to the
upside. Industrial commodities (+2.1%), energy commodities (+1.9%) and precious
metals (+1.6%) led the move higher.
May copper futures closed 3.9%
higher at $3.53 per pound. Declining inventory levels, in the face of strong
demand, were the primary catalyst.
Silver futures also saw
substantial gains. May silver trend higher throughout the session. It closed up
2.8% at $17.38 per ounce. Gains gold futures were limited, though. April gold
closed 0.5% higher at $1110.30 per ounce.
Crude oil futures rallied to
the $82.50 level in the morning. They traded relatively flat for the remainder
of the session. The May contract closed 2.7% higher at $82.16 per barrel.
Natural gas futures were one
of only two commodities in the CRB Commodity Index to trade lower this session
(the other being orange juice). Despite being off nearly 40% from January
highs, May natural gas closed down less than a penny at $3.92 per MMBtu.
The lack of market-moving data
and the absence of any major corporate news items made for moderate participation,
such that trading volume on the NYSE failed to eclipse 1 billion shares. DJ30
+45.50 NASDAQ +9.23 NQ100 +0.4% R2K +0.4% SP400 +0.8% SP500 +6.63 NASDAQ
Adv/Vol/Dec 1539/1.88 bln/1115 NYSE Adv/Vol/Dec 2097/944 mln/944