Wall Street begins third quarter on positive note

Traders working on the floor at the closing bell of the Dow Jones Industrial Average at the New York Stock Exchange on June 22, 2017 in New York.
Traders working on the floor at the closing bell of the Dow Jones Industrial Average at the New York Stock Exchange on June 22, 2017 in New York.PHOTO: AFP

WASHINGTON (REUTERS) - US stocks began the third quarter on a positive note in a truncated session on Monday (June 3), with bank shares leading a broad rally.

Goldman Sachs gave the biggest boost to the Dow Jones Industrial Average, while Bank of America and JPMorgan helped lift the S&P 500 index. A

ll 11 major S&P sectors were higher, topped by the financial index's 0.78 percent gain.

Trading volume is expected to be light, with the US market closing early at 1 p.m. ET (0100 am Singapore time). It will be shut on Tuesday for Independence Day. On Friday, the S&P 500 scored its biggest gain for the first half of the year since 2013, while the Nasdaq Composite's first-half gain was its best in eight years.

"The start to the third quarter is getting off on a promising note as the futures point to a higher opening in pre-holiday volume," said Peter Cardillo, chief market economist at First Standard Financial. "On the domestic front, we look for mixed-to-positive manufacturing data and a slight uptick in construction spending. In this abbreviated trading session, we look for positive market action as investors focus turns to the economy."

At 9:35 a.m. ET, the Dow Jones Industrial Average was up 96.62 points, or 0.45 per cent, at 21,446.25, the S&P 500 was up 11.64 points, or 0.48 per cent, at 2,435.05. The Nasdaq Composite was up 31.27 points, or 0.51 per cent, at 6,171.69.

Oil resumed its longest stretch of daily rallies in more than five years after data pointed to moderating US output, though analysts said news of rising Opec production could cap gains.