Aside from reports suggesting bank balance sheets need less shoring up than feared just a few months ago, White House comments that the Obama administration did not see a need right now to ask Congress for more bank bailouts also pushed the sector higher.
The Dow Jones industrial average <.DJI> rose 214.33 points, or 2.61 percent, to 8,426.74. The Standard & Poor's 500 Index <.SPX> gained 29.72 points, or 3.39 percent, to 907.24 -- its first close above the 900 level since early January. The Nasdaq Composite Index <.IXIC> climbed 44.36 points, or 2.58 percent, to 1,763.56.
Although final stress test results are expected to be released on Thursday, investors bet they will show banks do not need a larger financial cushion. That outcome would minimize the dilution of current shareholders' equity and avoid giving the government a bigger stake in the banks.
NYMEX-NEW YORK, May 4 (Reuters) - U.S. crude oil futures ended higher for the fourth session in a row on Monday, notching the highest settlement for the year, as optimism about an economic recovery that lifted Wall Street also supported oil markets.
On the New York Mercantile Exchange, June crude
CBOT-SOYBEANS - May
Soy rallies to fresh seven-month top on tight U.S. stocks and strong technicals. Supported by talk Argentina's soybean crop this year may fall as low as 31.0 million tonnes, below the Buenos Aires Grain Exchange's latest forecast for 34.0 million.
CBOT-SOYOIL - May
FCPO-JAKARTA, May 4 (Reuters) - Malaysian palm futures hit a 38-week intraday high on Monday, tracking soy which soared on fears of tight global vegetable oil supplies, but gave up some gains in late selling, traders said.
The benchmark July contract
Other traded months rose between 104 and 203 ringgit. <0#KPO:>. Overall volume more than tripled the usual at 36,748 lots of 25 tonnes each.
REGIONAL EQUITIES-BANGKOK, May 4 (Reuters) - Southeast Asian stocks hovered
around seven-month highs on Monday as growing optimism over a global economic recovery fuelled buying of top lenders such as DBS Group, Maybank, Bank Rakyat and Bangkok Bank.
Hopes that the United States economy was starting to stabilise and confidence the global economy was recovering faster than expected attracted investors back to stocks and helped Asian markets extend last week's gains.
In Kuala Lumpur, the stock index <.KLSE> climbed 1.9 percent to its highest since Oct. 6, with top lender Maybank
In Indonesia, Southeast Asia's best performer this year, the index <.JKSE> jumped 3.4 percent to its highest since Sept. 29, with state-owned Bank Rakyat
Singapore's index <.FTSTI> jumped 5.7 percent to its highest since Oct. 15, with heavyweight bank DBS Group