The US markets surged with the start of the new week and the major averages gained around a percent on Monday, regaining some ground following the decline seen last week. The gains were mainly due to bargain hunting with traders picking up stocks at reduced levels after the Dow and the S&P 500 ended at their lowest closing levels in two months before going for a long weekend. Traders largely shrugged off the ongoing geopolitical concerns as well as the release of a batch of disappointing U.S. economic data. The National Association of Home Builders released a report showing a bigger than expected pullback in homebuilder confidence in the month of April. The NAHB/Wells Fargo Housing Market Index dropped to 68 in April after jumping to 71 in March. Economists had expected the index to edge down to 70. The bigger than expected decrease by the index came after it reached its highest level since June of 2005 in the previous month. The NAHB however said all three components of the housing market index declined in April but remain at healthy levels.
The Dow Jones Industrial Average gained 183.67 points or 0.90 percent to 20,636.92, the Nasdaq added 51.64 points or 0.89 percent to 5,856.79, while S&P 500 ended higher by 20.09 points or 0.86 percent to 2,349.01.
The Indian ADRs made mostly a lower closing on Monday, Dr Reddy’s was down by 0.10%, ICICI Bank was down by 0.04%, Tata Motors was down by 0.71% and Wipro was down by 0.15%. On the other hand HDFC Bank was up by 0.06%.