Stocks rebounded Thursday after a six-day selloff to close higher for the first time in June, after investors cheered the international trade report and following the Greek Cabinet's decision to support a new round of austerity measure for its debt-ridden nation.
The Dow Jones Industrial Average gained 75.42 points, or 0.63 percent to close at 12,124.36, slipping slightly from its intra-day highs.
DuPont , Chevron and JPMorgan were among the top gainers on the blue-chip index, while Verizon slipped.
The S&P 500 added 9.44 points, or 0.74 percent, to finish at 1,289, while the tech-heavy Nasdaq climbed 9.49 points, or 0.35 pecent, to end at 2,684.87.
The CBOE Volatility Index, widely considered the best gauge of fear in the market, tumbled more than 5 percent to finish below 18.
Energy,materials and financials were the leaders among the key S&P sectors.
Trading was light with volume on the consolidated tape of the NYSE at 3.34 billion shares, while 909 million shares changed hands on the floor.
“This is much more of a technical rebound and there’s a lot of bargain hunting going on,” according to Kenny Polcari, managing director at ICAP Equities. “You’re going to continue seeing a churn in the markets…We’re in for a slow grind lower over the summer.”
Polcari said 1,290 on the S&P is the next target he is watching, but without any positive macroeconomic news going forward, the index could easily decline to 1,250—which is the March low, and coincidentally the 200-day moving average.
Banks traded higher across the board, after slumping in the recent weeks. Citigroup and Wells Fargo gained almost 3 percent each. Even Morgan Stanley gained after Rochdale lowered its price target on the financial giant to $28 from $37.50. But the sector is still the worst performer so far this year.
Materials and ag-related stocks such as Deere and CNH climbed following the USDA's monthly crop production report, which lowered projected corn surplus and acres planted and helped send futures to a record high. Monsanto shares climbed after the firm's board approved a dividend of 28 per share.
On the tech front, Texas Instruments cut its earnings and revenue forecast, blaming the shortfall on major client Nokia's