U.S. stocks powered ahead on Monday as better-than-expected results from U.S. home improvement retailer Lowe’s Cos Inc. buoyed investor optimism that the recession is easing.

Lowe’s raised its full-year forecast due to signs that the U.S. housing market’s decline may be ebbing.

In New York, the Dow Jones industrial average gained 235.44 points, or 2.85 %, to 8,504.08. The S&P 500 rose 26.83 points, or 3.04 %, to 909.71. The tech-heavy Nasdaq Composite index shot up 52.22 points, or 3.11 %, to 1,732.36.

In commodities news, U.S. front-month crude rose US$2.69, or 4.8 %, to settle at $59.03 a barrel, the highest close since Nov. 11, 2008.

Canadian financial markets were closed for the Victoria Day holiday.

IE