By Anora Mahmudova and Barbara Kollmeyer, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks edged higher on Monday,
pushing the main benchmarks into record territory for the fourth
straight session.
With the economic calendar looking thin, investors are focusing
on the benchmarks' record levels, as well as volatile commodity
prices.
The S&P 500 (SPX) and Dow Jones Industrial Average (DJI) hit
intraday records, while volatility on the main benchmark, as
measured by the CBOE Vix index fell to its lowest level in seven
weeks.
The Nasdaq Composite (RIXF) climbed, led by gains in the biotech
and Internet stocks.
Randy Frederick, Managing Director of Trading and Derivatives at
the Schwab Center for Financial Research, said falling oil prices
will have a net positive effect on the economy.
"Falling oil prices will dent earnings of energy related
companies, but lower gasoline prices will free up consumer
spending. The consumer component of GDP far outweighs the corporate
component," Frederick said.
However, he cautioned that the quick and robust recovery, amid
heightened optimism and very low volatility have created an
environment in which event-driven pullbacks are likely to be more
severe.
Need to Know: Stocks overvalued by 100% or a new secular bull
market?
Gold prices (GCZ4) fell to below $1,160 an ounce on Monday. Oil
(CLZ4) prices spiked as much as 2% amid reports of renewed fighting
in eastern Ukraine, but by midday fell by more than 1%.
Stocks to watch: Dendreon Corp.'s (DNDN) shares plunged on
Monday after reports indicated that the cancer-treatment maker
announced that it filed for Chapter 11 bankruptcy.
Rackspace Hosting Inc.(RAX) reports on Monday, along with
Sotheby's(BID). See Movers & Shakers
General Motors Co.(GM.XX) shares were lower after The Wall
Street Journal reported the auto maker ordered a half-million
replacement ignition switches to fix Chevrolet Cobalts and other
small cars nearly two months before it let federal safety
regulators know there was a problem.
GoPro's stock (GPRO) slumped after the maker of wearable video
cameras announced plans to sell $800 million shares of Class A
common stock to the public.
Investors will be looking to see if retailers are benefiting
from record levels of consumer sentiment and confidence this week.
Retail sales data is due Friday and ahead of that plenty of
individual companies will report, among them Wal-Mart Stores
Inc.(WMT) on Thursday. See: Retail earnings to test those consumer
sentiment highs
Hong Kong stocks rally on Stock Connect: A bright spot across
global markets Monday was in Hong Kong, where the Hang Seng rose
0.8% after regulators said the Stock Connect program, which allows
individual investors outside of China to buy Shanghai-listed shares
for the first time ever, will start Nov. 17.
A batch of Chinese economic data showed in-line inflation and
export growth that slowed from a year earlier, though it beat
forecasts.
Europe stocks edged higher, while the dollar(DXY) pulled back
from recent gains in the wake of U.S. jobs data.
Subscribe to WSJ: http://online.wsj.com?mod=djnwires