Energy Stocks Helping Lead The Way Higher On Wall Street

After an initial move to the downside, stocks have moved mostly higher over the course of morning trading on Monday. With the upward move, the major averages have offset the modest pullback seen in the previous session.

The major averages have seen further upside in recent trading, reaching new highs for the session. The Dow is up 182.03 points or 0.5 percent at 34,928.28, the Nasdaq is up 79.21 points or 0.5 percent at 14,658.74 and the S&P 500 is up 23.27 points or 0.5 percent at 4,414.61.

Energy stocks have helped to lead the way higher on Wall Street, benefiting from a sharp increase by the price of crude oil.

Crude for November delivery is spiking $2 to $81.35 a barrel amid concerns about global supplies, with the price of crude oil reaching its highest level in seven years.

Reflecting the strength in the energy sector, the Philadelphia Oil Service Index has surged up by 3 percent, the NYSE Arca Oil Index is up by 1.4 percent and the NYSE Arca Natural Gas Index is up by 1.3 percent.

Substantial strength is also visible among steel stocks, as reflected by the 3.4 percent jump by the NYSE Arca Steel Index.

Tobacco, gold and chemical stocks have also moved to the upside on the day, moving higher along with most of the other major sectors.

The strength on Wall Street may also reflected optimism about earnings season, with several big-name financial companies due to report their quarterly results this week.

Overall trading activity appears somewhat subdued, however, as some traders remain away from their desks for Columbus Day, also known as Indigenous Peoples’ Day.

While the stock markets are open, banks, government offices and the bond markets are closed for the holiday.

In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Monday. Japan’s Nikkei 225 Index surged up by 1.6 percent, while Australia’s S&P/ASX 200 Index dipped by 0.3 percent.

The major European markets have also turned mixed on the day. While the German DAX Index is down by 0.2 percent, the French CAC 40 Index is up by 0.2 percent and the U.K.’s FTSE 100 Index is up by 0.5 percent.

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