U.S. stocks jump, major indexes end more than 1% higher
U.S. stocks closed sharply higher on Monday, as major indexes rebounded following their biggest one-week percentage decline in about two years. The Dow Jones Industrial Average rose 408 points, or 1.7%, to 24,599. The S&P 500 was up 36 points, or 1.4%, to 2,655. The Nasdaq Composite Index closed up by 107 points, or 1.6%, to 6,982. On a percentage basis, the day marked the biggest two-day rally for the Dow since 2015, and the biggest for the S&P and Nasdaq since a two-day period in June 2016. The Dow and S&P fell into correction territory at their lows of last week's selling. The weakness was driven by the potential that sluggish inflation could resurface, forcing the Federal Reserve to raise rates at a more rapid pace than previously anticipated. Investors also digested the newly released plan by the Trump administration to revamp the nation's infrastructure against the backdrop of mounting worries about accelerating inflation. At current levels, major indexes are at least 7% below their all-time highs, hit late last month. In company news, CSRA Inc. jumped 31% after it agreed to be acquired by General Dynamics Corp. in a deal that values it at around $6.68 billion.