Indexes got a lift in Monday's stock market as Wall Street cheered the prospect of the government shutdown coming to an end. The Dow Jones Industrial Average rose after indexes logged their worst weekly decline since April amid fears of high valuations.

Blue chips on the Dow rose nearly 400 points or 0.8%, while the Nasdaq and the S&P 500 posted their best day since May 27. The S&P 500 rose 1.5%. The tech-dominated Nasdaq charged 2.3% higher.

On Sunday, the Senate secured enough procedural votes to avoid a filibuster, raising hopes of an end to the record government shutdown. A few hurdles remain.

But analysts at Evercore ISI expect the shutdown to end this week. The analysts also said, however, that after the Senate sends a compromise package to the House for a final vote, Speaker Mike Johnson, R-La., has "very little margin of error to keep his caucus unified."

Despite a break in the impasse, a postponement seems inevitable for Thursday's inflation report. Also facing likely delays are a retail sales report and the October Producer's Price Index, both set for Friday.

But some key reports still have a chance of arriving ahead of the Federal Reserve's meeting scheduled for Dec. 9-10. September's jobs report, originally scheduled for release on Oct. 3, may be among the first to be made available once the government reopens. As of right now, odds of a rate cut by 25 basis points at that December meeting currently sit at 64%, according to the CME FedWatch Tool.

Stock Market: Tallying Monday's Scores

The bond market is closed Tuesday for Veterans Day. On Monday, the yield on the benchmark 10-year Treasury note rose to 4.11%.

Volume on the New York Stock Exchange and on the Nasdaq was lower compared with the same time on Friday. Advancers outnumbered decliners by 2-to-1 on both exchanges.

The small cap Russell 2000 rose 0.9%, retaking the 50-day moving average. Meanwhile, the S&P 400 MidCap Index finished 0.6% higher. And the S&P 600 SmallCap Index gained 1%.

Dow transports and utilities did not participate in Monday's gains. Transports fell 0.3% while utilities lagged by 0.4%.

Among the S&P 500 sectors, technology and communication services jumped more than 2% with consumer discretionary rising 1.5%. Utilities, consumer staples and real estate fell.



Managed Care Stocks Sell Off

In stocks, UnitedHealth (UNH) slipped 0.8% after President Donald Trump said "hundreds of billions of dollars" sent to insurance companies should be sent directly to the public. The insurance giant managed to bounce off the day's lows.

But other managed health care stocks such as Molina Health (MOH) and Elevance Health (ELV) fell more, according to IBD MarketSurge chart analysis. Molina plunged more than 7% while Elevance dropped in excess of 4%. Both stocks are in downtrends, stuck below their 50-day moving averages.

Meanwhile, Magnificent Seven stocks took the lead in blue chips. Nvidia's (NVDA) gains approached 6% while Amazon (AMZN) advanced almost 2%. Microsoft (MSFT) rose nearly 2% as well. Apple (AAPL) ended the day slightly higher.

In other tech news, Taiwan Semiconductor (TSM) reported lower monthly sales growth of 17% for October, after September's 31% increase. Still, shares broke a four-day losing streak and rebounded from their 50-day moving average with a gain of more than 3%.

View the General Market Indicators chart page here.

Please follow VRamakrishnan on X/Twitter for more news on the stock market today.

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