U.S. markets showed strength for a third-straight session following a pullback in the 10-year yield to its lowest levels since mid-month. The recent gains have recaptured roughly 80% of the 10% pullback from the all-time highs with the major indexes showing momentum ahead of Fed news on Tuesday.
The Dow jolted 1.6% after trading to a high of 25,732 while the S&P 500 surged 1.2% while reaching an intraday peak of 2,780. Both indexes face near-term and late January resistance at 26,000 and 2,800, respectively, with closes above these levels being continued bullish signals.
The Nasdaq jumped 1.8% after closing a half-point off its intraday high of 7,421 while clearing the 7,400 level for the first time since the end of January. The index is back in positive territory for the month following today’s rally.
The Russell 2000 gained 0.7% after making a run north of 1,560, but more importantly, the small-caps closed above their 50-day moving average for the first time since the start of February.
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