New York — Financial shares and strong oil prices bolstered US stocks on Monday while currency and bond investors shrugged off Italian Prime Minister Matteo Renzi’s resignation, following voters’ rejection of his constitutional reforms. The Italian referendum stoked worries about Italy’s political stability and its banking system, but US Treasury yields reversed their fall as the initial demand for low-risk US government debt faded with a euro and stock price revival. "The initial reaction was quite negative, but as we have seen recently with other political events, risks will likely be played out over a period of time," said Brian Daingerfield, macro strategist at NatWest Markets in Stamford, Connecticut. US stocks rose as the S&P 500 banking index erased Friday’s losses with a 1.7% jump and its energy index jumped 1% as oil futures rose. The Dow Jones industrial average was up 84.64 points, or 0.44%, to 19,255.06, the S&P 500 gained 14.76 points, or 0.67%, to 2,206.71 and the Nasd...
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