S&P 500 top movers: Financial stocks post strong gains on Fed's stress test results
- S&P 500 Index rebounds from daily lows, stays below 3,700.
- Bing banks' stocks rise decisively after Fed's stress test.
- Falling crude oil prices weigh on major energy stocks.
After starting the day deep in the negative territory on Monday, the S&P 500 Index staged a rebound and was last seen down 0.55% on a daily basis at 3,690.
S&P 500 top movers
The US Federal Reserve announced the results of its second stress test of the year and said that largest US banks have enough capital to withstand over $600 billion in losses from a sharp economic contraction. The Fed further added that lenders will be able to pay out dividends and buyback stocks on a limited basis, as reported by Reuters.
Boosted by this development, financial stocks gained traction on Monday. As of writing, Goldman Sachs Group Inc (GS: NYSE), Morgan Stanley (MS: NYSE), JPMorgan Chase & Co (JPM: NYSE), Capital One Financial Corp (COF: NYSE) and Bank of America Corp (BAC: NYSE) shares were up between 6.8% and 4%.
On the other hand, major energy stocks are suffering heavy losses on Monday as renewed coronavirus fears weigh heavily on crude oil prices. At the moment, Occidental Petroleum Corp (OXY: NYSE) is the biggest daily percentage decliner, losing 5.5% at $17.51. Additionally, NiSource Inc (NI: NYSE) and Diamondback Energy Inc (FANG: NASDAQ) shares both lose around 4%.
Finally, Tesla Inc (TSLA: NASDAQ) is down 4.1% on its debut at $666.85.