Markets Right Now: Stocks surge as banks make big gains

AP News
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Posted: Jun 20, 2016 4:09 PM
Markets Right Now: Stocks surge as banks make big gains

NEW YORK (AP) — The latest on developments in global financial markets (all times local):

4:00 p.m.

Stocks are closing solidly higher as investors grow more optimistic that Britain will remain in the European Union.

Industrial and consumer stocks had some of the biggest gains Monday. Prices of bonds, gold and utility stocks fell as investors dumped ultra-safe assets.

The British pound and European stocks rose sharply as investors hoped that a British vote this Thursday to remain in the EU would avoid a blow to the European economy.

The Dow Jones industrial average rose 129 points, or 0.7 percent, to 17,804. The Standard & Poor's 500 index rose 12 points, or 0.6 percent, to 2,083. The Nasdaq composite picked up 36 points, or 0.8 percent, to 4,837.

The yield on the 10-year Treasury note rose to 1.67 percent.

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11:45 a.m.

Stocks are solidly higher as investors grow more optimistic that Britain will remain in the European Union.

Banks had some of the biggest gains in midday trading Monday. Bond prices were falling, sending yields higher. as investors moved money out of safety play assets.

Wells Fargo, the nation's biggest mortgage lender, rose 2 percent.

The British pound and European stocks rose sharply as traders anticipated that Britons will vote to stay in the EU when they go to the polls Thursday.

The Dow Jones industrial average jumped 195 points, or 1.1 percent, to 17,870. The Standard & Poor's 500 rose 22 points, or 1.1 percent, to 2,093. The Nasdaq composite picked up 70 points, or 1.5 percent, to 4,870.

The yield on the 10-year Treasury note rose to 1.67 percent.

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9:45 a.m.

U.S. stocks are jumping Monday morning as investors grow more optimistic that Britain will remain in the European Union, and banks are rising on the prospect of higher interest rates.

Investors worry the world economy will suffer if Britain leaves the EU, but based on recent polls, they are a bit more optimistic that won't happen.

Bank of America added 3 percent and JPMorgan Chase gained 2.3 percent as bond prices dropped. The yield on the 10-year Treasury note rose to 1.67 percent.

Machinery and industrial stocks also rose.

The Dow Jones industrial average surged 250 points, or 1.4 percent, to 17,925. The Standard & Poor's 500 index rose 27 points, or 1.3 percent, to 2,098. The Nasdaq composite picked up 66 points, or 1.4 percent, to 4,866.