US stock indexes up 1% as volatility, yield fall

By Ovunc Kutlu

ANKARA (AA) - Major US stock indexes opened with more than 1% gain on Monday as high volatility and 10-year US Treasury yield have started to decline.

The Dow Jones jumped 448 points, or 1.4%, to 31,381 at 9.33 a.m. EDT (1433GMT), while the S&P 500 added 57 points, or 1.5%, to 3,863 with Tesla gaining 2.1%.

The Nasdaq increased 214 points, or 1.6%, to 13,406 as GameStop and Zoom Video soared 5% each, while Johnson & Johnson gained 1.3%.

The pharmaceutical firm gained emergency use authorization Saturday from the US' Food and Drug Administration (FDA) for its COVID-19 vaccine that is administered as a single dose, unlike the vaccines of Pfizer-BioNTech and Moderna.

The strong rally at market opening came as VIX volatility index was down significantly by 13.4% to 24.19 level, that helped investors ease some of the fears amid global economic recovery.

The 10-year US Treasury yield, which increased continuously in recent weeks, was down 1.5% to 1.434% after the opening bell. The yield on Thursday hit its highest level since February 2020.

Precious metals were also up, but they have still been struggling to recover. Gold was around $1,741 per ounce with a 0.4% gain, while silver was up 0.8% to $26.8.

After losing almost 30% of its value in recent days, Bitcoin recovered more than 8% Monday and was trading around $48,300 at the time.