News

US stocks sharply higher in early trading; oil rises

Financial companies led a broad rally in U.S. stocks in early trading Monday as investors reacted to news that the FBI’s review of newly discovered Hillary Clinton emails found no evidence warranting criminal charges against the presidential candidate. Traders have been anxious in recent weeks over signs that the presidential race was tightening.

KEEPING SCORE: The Dow Jones industrial average gained 260 points, or 1.5 per cent, to 18,149 as of 10:06 a.m. Eastern time. The Standard & Poor’s 500 index rose 32 points, or 1.6 per cent, to 2,118. The S&P 500, a key market benchmark, is coming off its longest losing streak since 1980, nine days of losses in a row. The Nasdaq composite index added 89 points, or 1.8 per cent, to 5,136.

ELECTION UPDATES: FBI Director James Comey announced late Sunday that a review of new Clinton emails did not change the bureau’s recommendation that she should not face charges. The market had wilted on Oct. 28 after the FBI notified Congress that it was reviewing newly discovered emails linked to Clinton.

SPARKLING DEAL: Blue Nile surged 33.5 per cent on news that the online jewelry retailer is being acquired by a group of funds managed by Bank Capital and Bow Street. The stock added $10.20 to $40.64.

STRONG QUARTER: LendingClub vaulted 18.1 per cent after the peer-to-peer lender reported better-than-expected quarterly results. The stock gained 93 cents to $6.06.

FDA BOOST: Shares in drugmaker Cempra climbed 8.3 per cent after a Federal Drug Administration panel determined that the company’s treatment for a type of pneumonia outweighs the risk of liver injury. The stock rose 63 cents to $8.18.

MARKETS OVERSEAS: In Europe, Germany’s DAX was up 1.7 per cent, while France’s CAC 40 was 1.7 per cent higher. Britain’s FTSE was up 1.6 per cent. Earlier in Asia, Japan’s Nikkei 225 finished 1.6 per cent higher, while South Korea’s Kospi gained 0.8 per cent. The Hang Seng index in Hong Kong added 0.7 per cent.

ENERGY: U.S. benchmark crude oil was up 45 cents, or 1 per cent, at $44.51 a barrel in New York. The price of oil is coming off a six-day losing streak. Brent crude, which is used to price international oils, was up 46 cents, or 1 per cent, at $46.03 a barrel in London.

BONDS AND CURRENCIES: Bond prices fell. The yield on the 10-year Treasury note rose to 1.82 per cent from 1.78 late Friday. In currency markets, the dollar strengthened across the board. It was up to 104.47 yen from 103.13 on Friday. The euro slipped to $1.1057 from $1.1117. The Mexican peso jumped nearly 2 per cent. The dollar fell to 18.60 Mexican pesos per dollar from 19.03.