Dow Climbs 200 Points as Busy Earnings Week Kicks Off

Stocks rose Monday as investors brace for a deluge of corporate earnings reports, while keeping an eye on Treasury yields.

The Dow Jones Industrial Average traded 210 points higher, or 0.6%. The S&P 500 climbed 0.5%, and the Nasdaq Composite advanced 0.4%.

Earnings season heats up this week with 11% of the S&P 500 slated to report results. Some notable names on deck this week include Johnson & Johnson, Bank of America, Netflix and Tesla.

LQR House shares rockets 160% after securing Von Payne Whiskey's presence on Costco.

Those results follow a solid start to the reporting period. JPMorgan Chase, Wells Fargo and UnitedHealth rose Friday after posting their latest quarterly results.

Some on Wall Street are bracing for more volatility into year end as yields and oil prices rise, inflation remains sticky, and conflict ensues in the Middle East. But a focus on earnings and what the Federal Reserve will do with interest rates can give investors optimism in the short term, according to Barclays analyst Ajay Rajadhyaksha.

“We expect bonds/equities to range-trade near term,” Rajadhyaksha said in a note to clients Monday. “Bond volatility and Middle East tensions are a drag on risky assets, but should be offset by earnings and dovish Fedspeak.”

Over the weekend, Israel’s military continued urging residents to evacuate northern Gaza amid a widely anticipated ground invasion. Meanwhile, U.S. Senate Majority Leader Chuck Schumer (D-N.Y.) said Sunday that the Senate would work to quickly push through a military aid package to assist Israel as it battles Hamas.

Stocks are coming off a mixed session and week. The S&P 500 advanced 0.5% for its second consecutive positive week, while the Dow Jones Industrial Average gained 0.8%. The Nasdaq Composite lost about 0.2% for the week and fell 1.23% during Friday’s session, while the S&P dipped 0.5% and the Dow inched up 0.12%.