The Dow Jones Industrial Average shot back up by more than 600 points Monday, ending the day up almost 2% to 31,880.24. This comes days after it fell by more than 1,100 points, which was the biggest loss the markets had since the early days of the pandemic.
Leading the charge was discount clothing retailer Ross, which saw its stock jump almost 10% to close out at $78.75. It was one of many retailers that saw their stocks plunge last week after Target and Walmart didn’t meet expectations in their earnings reports. Video game publisher Take-Two Interactive had a 6% bump to $123.62 Monday after it completed its deal to acquire mobile game developer Zynga.
More companies will announce their earnings this week, which could cause even more waves in the coming days.
“With so many stocks down significantly year to date, it won’t be surprising to see a brief reprieve in US markets today,” Wayne Wicker, chief investment officer at MissionSquare Retirement, told CNBC. “However, with the given challenges related to inflation, rising interest rates and geopolitical events as we come into the summer months, investors should expect continued volatility in the near term.”
The Dow has been in the negative for the last eight weeks, with concerns that the markets would turn bearish. Inflation continues to be a big concern for investors and Americans, in general.
The Nasdaq also jumped by 180 points to increase by almost 2% to 11,535,28. The S&P saw a nearly 2% bump of 72.39 to 3,973.75.
