Stocks rose on Monday as better-than-expected data on the manufacturing sector and earnings from Exxon Mobil reassured investors that economic growth is on track, after stocks suffered their worst month in almost a year.
Apple Inc shares
The Institute for Supply Management's manufacturing index showed the sector grew in January at a faster rate than expected. The ISM report followed strong manufacturing data from China, Australia and the euro zone.
Exxon's stock rose 2.8 percent to $66.26 after the largest U.S. oil company reported natural gas products boosted results at its exploration arm. The S&P energy sector index <.GSPE> gained 2.7 percent.
The S&P 500's 1.3 percent gain comes after three weeks of back-to-back losses.
The market is starting to focus more on profits, putting into perspective positive economic news like the ISM, while putting aside politics and bad earnings we saw in January, said Burt White, managing director and chief investment officer of LPL Financial in Boston.
The Dow Jones industrial average <.DJI> climbed 110.34 points, or 1.10 percent, to 10,177.67. The Standard & Poor's 500 Index <.SPX> gained 13.51 points, or 1.26 percent, to 1,087.38. The Nasdaq Composite Index <.IXIC> rose 20.38 points, or 0.95 percent, to 2,167.73.
Shares of industrial materials companies gained on the strong global manufacturing data, with aluminum company Alcoa Inc
In the tech sector, shares of cellphone chip maker Qualcomm
In January's pullback, the materials and technology sectors were the biggest losers.
But the Nasdaq's advance was curbed by Amazon Inc
(Reporting by Angela Moon; Editing by Jan Paschal)