Wall Street Surges On Pandemic Optimism

US stocks rocketed higher on Monday, with each of the major indices rallying at least 7 per cent, after a fall in the daily death toll in New York, the country's biggest coronavirus hot spot, fueled optimism a leveling off of the pandemic was on the horizon.

On Sunday, New York reported virus-related deaths had fallen slightly from the previous day, the first instance in a week.

New York Governor Andrew Cuomo said on Monday that hospital admissions of coronavirus patients are down and the rate of the rise in deaths has leveled off in the hardest-hit state. But he cautioned against complacency.

"Seeing the market soar the way it is, even though the fundamentals continue to be in free fall, the market is looking across the valley and saying 'six months from now things will be on the ascent,'" said Sam Stovall, chief investment strategist at CFRA Research in New York.

The Dow Jones Industrial Average rose 7.73 per cent to 22,680, the S&P 500 gained 175 points, or 7 per cent, to 2,664 and the Nasdaq Composite added 540 points, or 7.33 per cent, to 7,913.

The gains marked the biggest daily percentage rise for each index since March 24.

All 30 Dow components were in positive territory, led by a gain of 19.47 per cent in Boeing shares, while the technology and defensive utilities sectors, among the best-performing for the year, climbed more than 8 per cent.

Despite Monday's bounce, the S&P 500 remains down more than 21 per cent from its mid-February record close. (Reuters)