Early gains on Wall Street evaporate, Dow Jones adds just 16 points

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NEW YORK, New York – U.S. stocks rallied early on Monday, but sellers took advantage of the situation, and gains were being creamed by the close of business.

Earlier stocks gained on positive news out of China, with lockdowns ending and the economy opening up again.

“Since those lows near 3,800 in the S&P 500 there has been real progress: China is reopening and hopefully the economy will be close to operating at near-full capacity within a month. That will add a large tail-wind to the global economy, and perhaps most importantly, ease supply chain stress,” CNBC reported Tom Essaye of the Sevens Report saying in a note to clients.

However it was a roller-coaster road as early gains evaporated, losses ensued, and then buyers returned. But sellers overwhelmed them. In the end the major indicates were barely ahead.

The Dow Jones industrials added 16.08 points or 0.05 percent to close Monday at 32,915.78.

The Standard and Poor’s 500 rose 12.89 points or 0.31 percent to 4,121.43.

The Nasdaq Composite gained 48.64 points or 0.40 percent to 12,061.31.

The U.S. dollar strengthened against all currencies. The euro dived to 1.0694 by the New York close Monday. The British pound eased to 1.2539. The Japanese yen was sharply lower at 131,87, as was the Swiss franc at 0.9706.

The Canadian dollar was a fraction weaker at 1.2571. The Australian dollar inched down to 0.7197. The New Zealand dollar softened to 0.6493.

On overseas equity markets, the Dax in Germany advanced 1.34 percent. The CAC 40 in Paris, France rose 0.98 percent. In London, the FTSE 100 was up 1.00 percent.

Leading the way in Asia was the Hang Seng in Hong Kong which surged 571.77 points or 2.71 percent to close Monday at 21,653.90.

In Japan, the Nikkei 225 gained 154.32 points or 0.56 percent to 27,915.89.

South Korea’s Kospi Composite added 11.66 points or 0.44 percent to 2,670.65.

China’s Shanghai Composite advanced 40.91 points or 1.28 percent to 3,236.37.

Only the Australian market failed to join the party with the All Ordinaries dropping 39.30 points or 0.53 percent to 7,433.10.

The New Zealand financial markets were closed Monday for the Queen’s Birthday long weekend.