The Dow Jones rose 1,293 points on Monday from falling into correction territory last week as traders feared COVID-19 could slow the global economy. Photo by John Angelillo/UPI | License Photo

March 2 (UPI) -- U.S. markets bounced back on Monday after entering correction territory last week amid concerns about COVID-19.

The Dow Jones Industrial Average closed up 1,293.96 points, or 5.09 percent, while the S&P 500 rose 4.60 percent and the Nasdaq Composite climbed 4.49 percent, ending a seven-day streak of declines for the Dow and the S&P 500.


Apple helped lead the Dow's surge as its shares increased 5.6 percent, while Merck rose 4.2 percent and Walmart gained 5.2 percent.

Consumer staples, utilities and real estate each increased 2.5 percent, leading the S&P 500's sectors, while tech rose 2.1 percent.

Stocks returned to within 10 percent of their record heights after falling into correction territory as the Dow Jones experienced its worst week since the 2008 financial crisis, falling more than 12 percent amid fears that the coronavirus epidemic would negatively affect the global economy.

Although the Organization for Economic Cooperation and Development said Monday the outbreak could slow global economic growth, hopes for a stimulus package helped push stocks upward.

The Federal Reserve will meet March 18, and although Fed officials have spoken out against immediate rate cuts, the CME's FedWatch tool placed market expectations for a half-percentage point interest rate cut at 100 percent.

Commodities rose Monday, with gold futures increasing by 1.8 percent, and oil prices closing up 4.4 percent.