The Dow Jones Industrial Average closed at 25,475.02 on Monday with a gain of 91.91 points or 0.36%. The S&P 500 closed at 3,055.73 for a gain of 11.42 points or 0.38%. The Nasdaq Composite closed at 9,552.05 for a gain of 62.18 points or 0.66%. The VIX Volatility Index was higher at 28.30 for a gain of 0.79 points or 2.87%.
Monday's market movers
U.S. stocks closed with modest gains Monday, on the first trading day of June. Violent protests following the death of George Floyd caused some retail stores to close, with the concerns piling on an already slow economic reopening from the coronavirus pandemic. Investors were also cautious ahead of May's employment data Friday, which is estimated to show an unemployment rate of approximately 19.5%.
Tensions in China were another concern after Bloomberg reported that China called on some importers to halt their U.S. soybean imports. The soybean imports are a core part of the overall negotiations between the two countries.
On a positive note, the Markit and ISM Manufacturing reports showed improvements in May from April. The Markit Manufacturing PMI improved to 39.8 in May from 36.1. The ISM Manufacturing PMI improved to 43.1 in May from 41.5.
Stock highlights for the day included:
- Facebook (NASDAQ:FB): FB gained approximately 3% despite rumors of a staged virtual walkout by employees to protest platform free speech policies.
- Tesla (NASDAQ:TSLA): Tesla gained approximately 7.5% Monday. The SpaceX capsule launched with two NASA astronauts Saturday and successfully linked with the International Space Station as planned.
- The iShares Nasdaq Biotechnology Index (NASDAQ:IBB) ended with a loss of 0.50% after Russia says it will approve Avifavir for use on coronavirus patients. Avifavir is a generic anti-flu drug already in mass production.
Economic reports affecting market trading included the following:
- The Markit Manufacturing PMI improved to 39.8 in May from 36.1.
- The ISM Manufacturing PMI improved to 43.1 in May from 41.5. Separately, the ISM Manufacturing New Orders Index increased to 31.8 from 27.1, the ISM Manufacturing Prices Index increased to 40.8 from 35.3 and the ISM Manufacturing Employment Index increased to 32.1 from 27.5.
- Construction spending decreased 2.9% in April.
- The Treasury held auctions for three-month bills at a rate of 0.150% and six-month bills at a rate of 0.170%. The 10-year Treasury ended with a yield of approximately 0.67%.
In the S&P 500, energy led gains up 1.79% with a possible surprise OPEC+ meeting in the works for Thursday. In the S&P 100, the following stocks led gains:
- Occidental Petroleum (NYSE:OXY) 6.56%
- Boeing (NYSE:BA) 3.87%
- Citigroup (NYSE:C) 3.19%
- U.S. Bancorp (NYSE:USB) 3.12%
- General Electric (NYSE:GE) 2.97%
- ConocoPhillips (NYSE:COP) 2.94%
- Ford (NYSE:F) 2.63%
- Wells Fargo (NYSE:WFC) 2.27%
- Booking Holdings (NASDAQ:BKNG) 1.99%
- Exxon (NYSE:XOM) 1.84%
In small caps, the Russell 2000 closed at 1,405.37 for a gain of 11.34 points or 0.81%. The S&P 600 closed at 811.00 for a gain of 7.89 points or 0.98%. The Dow Jones U.S. Small-Cap Growth Index closed at 9,762.43 for a gain of 100.09 points or 1.04%. The Dow Jones U.S. Small-Cap Value Index closed at 6,832.04 for a gain of 101.16 points or 1.50%.
Other notable indexes
Other notable index closes included the S&P 400 Mid-Cap Index at 1,784.04 for a gain of 20.09 points or 1.14%; the S&P 100 at 1,392.95 for a gain of 3.32 points or 0.24%; the Nasdaq 100 at 9,598.89 for a gain of 43.36 points or 0.45%; the Russell 3000 at 1,780.52 for a gain of 9.15 points or 0.52%; the Russell 1000 at 1,691.13 for a gain of 8.38 points or 0.50%; the Wilshire 5000 at 31,095.82 for a gain of 163.23 points or 0.53%; and the Dow Jones U.S. Select Dividend Index at 591.83 for a gain of 4.32 points or 0.74%.
Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.
This article first appeared on GuruFocus.