Stocks bounced for a second day Monday to wrap up a rough January, as investors snapped up some of the tech shares that have been battered all month.
Despite the two-day relief rally, both the S&P 500 and the NASDAQ Composite posted their worst months since the onset of the pandemic, as investors braced for the Federal Reserve to raise interest rates multiple times this year starting soon.
The Dow Jones Industrials screamed higher 406.39 points, or 1.2%, by the close Monday at 35,313.86. That helped it cut its loss for the month to 3.3%, as it benefited from its underweighting in tech shares.
The S&P 500 picked up 83.7 points, 1.9%, to 4,515.55, cutting its loss for the month to 5.2%. That's still its worst month since the 12.5% loss in March 2020, and its worst January since 2009.
The NASDAQ popped 469.31 points, or 3.4%, to 14,239.88. The index is still ended down 8.9% for January, also its worst month since March 2020.
Netflix surged 13% and Spotify surged more than 11%, on Monday upgrades from Citi. The firm cited this month's pullback as an attractive time to buy. Netflix is still down nearly 30% this month, and Spotify is off by 17%.
Tesla, which is down 11% in January, gained more than 10% on Monday after Credit Suisse upgraded the electric car maker's stock. The firm said Tesla had been unfairly caught up in the market decline. Other EV makers rose too, with Rivian racing 11% and Lucid adding about 6%.
Nvidia shares climbed 7% after being hit hard in January. The chip stock finished the month down 16.7%.
Outside of tech, Boeing was the top gainer in the Dow, rising 5% after the airline won a deal with Qatar Airways worth $34 billion.
Investors have a big week for economic data and some important earnings reports from some of the market's biggest tech names, including Alphabet, Meta Platforms, Amazon and more. About one-third of S&P 500 companies have reported fourth-quarter earnings and 77% have beaten Wall Street's earnings expectations
Prices for 10-year Treasurys gained ground, lowering yields to 1.78% from Friday's 1.79%. Treasury prices and yields move in opposite directions.
Oil prices acquired $1.50 to $88.32 U.S. a barrel.
Gold prices hiked $12.90 to $1,799.50 U.S. an ounce.