Stocks have moved modestly higher over the course of early trading on Monday, adding to the strong gains posted last week. The major averages have all moved to the upside, although buying interest has remained somewhat subdued.
Currently, the major averages are hovering above the unchanged line. The Dow is up 23.15 points or 0.1 percent at 17,846.96, the Nasdaq is up 16.70 points or 0.3 percent at 5,121.62 and the S&P 500 is up 4.68 points or 0.2 percent at 2,093.85.
The strength that has emerged on Wall Street comes as stocks continue to recover from the sharp pullback seen earlier this month, with the major averages climbing back toward their recent highs.
A rebound by the price of crude oil has also generated some positive sentiment, as crude for January delivery is rising $0.25 to $42.15 a barrel after falling as low as $40.41 a barrel.
Trading activity has remained relatively light, however, with some traders staying on the sidelines on the heels of recent volatility.
The Thanksgiving Day holiday on Thursday and the unofficial Black Friday holiday may also be keeping some traders away from their desks.
Nonetheless, traders will be presented with a slew of U.S. economic data in the holiday-shortened week, including reports on new home sales, durable goods orders, and personal income and spending.
The National Association of Realtors released a report this morning showing that existing home sales pulled back by a little more than expected in October.
NAR said existing home sales fell 3.4 percent to an annual rate of 5.36 million in October after surging up 4.7 percent to a rate of 5.55 million in September. Economists had expected sales to drop to a rate of 5.40 million.
Biotechnology stocks have shown a strong move to the upside, driving the NYSE Arca Biotechnology Index up by 1.2 percent. Celldex Therapeutics (CLDX) is leading the sector higher after reporting positive trial data for its experimental drug Rintega.
Natural gas, networking, and retail stocks are also seeing some early strength, but most of the major sectors are showing only modest moves.
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Monday. Hong Kong's Hang Seng Index fell by 0.4 percent, while Australia's All Ordinaries Index rose by 0.4 percent. The Japanese markets were closed for a holiday.
Meanwhile, the major European markets have all moved to the downside on the day. While the German DAX Index is down by 0.1 percent, the U.K.'s FTSE 100 Index and the French CAC 40 Index are down by 0.3 percent and 0.4 percent, respectively.
In the bond market, treasuries have moved modestly lower, extending the pullback seen last Friday. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, is up by 1.1 basis points at 2.273 percent.
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