Investing.com - U.S. stock prices finished Monday higher after weak economic indicators released across the globe sparked talk central banks won't rush to unwind monetary stimulus tools that send stocks rising by design.
At the close of U.S. trading, the Dow Jones Industrial Average finished up 0.27%, the S&P 500 index ended up 0.46%, while the Nasdaq Composite index gained 0.39%.
In Europe, the Sentix index of investor confidence for the eurozone dropped to -10.6 in March from -3.9 the previous month, worse than expectations for a decline to -5.2.
Data released on Friday that revealed the eurozone's unemployment rate rose to a new record high of 11.9% in January from 11.8% the previous month.
Analysts had expected the rate to remain unchanged at 11.8% in January.
Meanwhile, China reported on Friday that the country's February purchasing managers' index fell to 50.1 from 50.4 in January, defying economists' expectations for a 50.5 reading.
While readings above 50 signal expansion, the decline caught markets off guard.
Elsewhere, China’s non-manufacturing PMI fell to 54.5 in February from 56.2 in January.
In the U.S., USD85 billion in automatic public spending cuts went into effect on Friday and will affect many federal programs and eliminate jobs, shaving as much as half a percentage point off growth rates for this year, according to some estimates.
In U.S. stock markets, however, investors saw bad news as a reason to go long on stocks, sending the Dow Jones Industrial Average about 50 points shy of a record high.
Sentiment began to build later in the session that weak data and U.S. fiscal uncertainty could prompt the Federal Reserve to keep monetary stimulus programs in place for longer than once thought, which weakened the greenback and sent investors chasing stocks, the beneficiaries of loose monetary policies.
Central banks elsewhere may follow a similar cue, investors concluded.
Leading Dow Jones Industrial Average performers included Wal-Mart, up 2.10%, Home Depot, up 1.83%, and Merck, up 1.64%.
The Dow Jones Industrial Average's worst performers included Caterpillar, down 1.77%, United Technologies, down 1.11%, and Alcoa, down 1.07%.
European indices, meanwhile, where mixed.
After the close of European trade, the EURO STOXX 50 rose 0.12%, France's CAC 40 rose 0.27%, while Germany's DAX 30 finished down 0.21%. Meanwhile, in the U.K. the FTSE 100 finished down 0.52%.
On Tuesday in the U.S., the Institute of Supply Management is to release a report on service-sector activity, a leading indicator of economic health.
At the close of U.S. trading, the Dow Jones Industrial Average finished up 0.27%, the S&P 500 index ended up 0.46%, while the Nasdaq Composite index gained 0.39%.
In Europe, the Sentix index of investor confidence for the eurozone dropped to -10.6 in March from -3.9 the previous month, worse than expectations for a decline to -5.2.
Data released on Friday that revealed the eurozone's unemployment rate rose to a new record high of 11.9% in January from 11.8% the previous month.
Analysts had expected the rate to remain unchanged at 11.8% in January.
Meanwhile, China reported on Friday that the country's February purchasing managers' index fell to 50.1 from 50.4 in January, defying economists' expectations for a 50.5 reading.
While readings above 50 signal expansion, the decline caught markets off guard.
Elsewhere, China’s non-manufacturing PMI fell to 54.5 in February from 56.2 in January.
In the U.S., USD85 billion in automatic public spending cuts went into effect on Friday and will affect many federal programs and eliminate jobs, shaving as much as half a percentage point off growth rates for this year, according to some estimates.
In U.S. stock markets, however, investors saw bad news as a reason to go long on stocks, sending the Dow Jones Industrial Average about 50 points shy of a record high.
Sentiment began to build later in the session that weak data and U.S. fiscal uncertainty could prompt the Federal Reserve to keep monetary stimulus programs in place for longer than once thought, which weakened the greenback and sent investors chasing stocks, the beneficiaries of loose monetary policies.
Central banks elsewhere may follow a similar cue, investors concluded.
Leading Dow Jones Industrial Average performers included Wal-Mart, up 2.10%, Home Depot, up 1.83%, and Merck, up 1.64%.
The Dow Jones Industrial Average's worst performers included Caterpillar, down 1.77%, United Technologies, down 1.11%, and Alcoa, down 1.07%.
European indices, meanwhile, where mixed.
After the close of European trade, the EURO STOXX 50 rose 0.12%, France's CAC 40 rose 0.27%, while Germany's DAX 30 finished down 0.21%. Meanwhile, in the U.K. the FTSE 100 finished down 0.52%.
On Tuesday in the U.S., the Institute of Supply Management is to release a report on service-sector activity, a leading indicator of economic health.