Stocks extend gains in late trading as markets stabilize

|By:, SA News Editor

Stocks pushed higher in choppy trading, with the S&P 500 bouncing back from its biggest weekly drop since 2012, as markets stabilized after last week's selloff.

The jitters that weighed stocks amid worries about the outlook for Fed policy and global credit market woes were largely absent today, and buyers stepped in during afternoon trading; because of consistently light trading volume, any large moves by investors are more likely to swing benchmarks.

Sentiment was more relaxed from the start thanks to Portugal's plan to spend €4.9B ($6.6B) to bail out Banco Espirito Santo.

The energy sector was an early laggard but surged into the lead after Colorado officials announced the formation of a task force that will result in the removal of anti-fracking initiatives from the November ballot in the state; also, crude oil rose 0.4% to $98.27.

Treasury prices rose as rate-hike concerns ebbed, and the 10-year yield fell 1.5 bps on the day at 2.491%.