Declining market interest rates gave stocks a late boost Monday as investors reacted to news of a lower than expected US Treasury borrowing requirement. The Dow Jones industrial average firmed 0.6 percent, the S&P 500 gained 0.8 percent and the Nasdaq advanced 1.1 percent. US Treasury yields and oil prices declined while the dollar rose.

Megacaps perked up to boost the major averages, with a bump late in the day after the US Treasury scaled back the borrowing requirement it projected a quarter ago. The market was already better bid ahead of macro news this week including the Federal Open Market Committee meeting on Wednesday and Friday's employment report, plus earnings due from megacaps like Microsoft, Meta, Alphabet, and Amazon.

Energy was the day's laggard as oil prices slipped despite news from the Middle East that US soldiers stationed in Jordan had been killed by Iran-backed militants. Strongest stock sectors included information technology, communications services, consumer discretionary, and health care.

Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.

Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.