(By Salman - iStockAnalyst Writer)
US stocks finished with solid gains on Monday after Federal Reserve chairman Ben Bernanke said that the central bank is likely to keep interest rates exceptionally low for "an extended period," in order to encourage economic growth.
The Dow Jones Industrial Average rallied 136.49 points or 1.33% to finish at 10,406.96. The S&P 500 surged 15.82 points or 1.45% to end at 1,109.30. The Nasdaq Composite gained 29.97 points or 1.38% to 2,197.85.
In a speech before the Economic Club of New York, Ben Bernanke repeated that the FOMC anticipates that "exceptionally low" interest rates are likely to persist for "an extended period."
A release by Department of Commerce on Monday showed that retail sales climbed 1.4% in October. Economists had forecast retail sales to increase 0.9%.
The New York Federal Reserve Bank said Monday that Empire State Manufacturing index fell to 23.5 in November from 34.6 in October.
Shares of airplane maker Boeing Co. (NYSE:
BA) rallied $1.80 or 3.55% to $52.48.
Alcoa Inc.(NYSE:
AA), the largest US aluminum maker, jumped 43 cents or 3.26% to $13.61.
Shares of equipment maker Caterpillar Inc. (NYSE:
CAT) surged $1.62 or 2.76% to $60.40.
Energy stocks finished with gains. Exxon Mobil Corp (NYSE:
XOM) soared $1.96 or 2.70% to $74.43. Chevron Corp. (NYSE:
CVX) climbed $1.35 or 1.73% to $78.61.
Diversified US firm General Electric Co. (NYSE:
GE) rose 34 cents to 2.17% to $16.
Shares of chipmaker Intel Corp. advanced 41 cents or 2.07% to $20.23.
Kraft Foods Inc.
