Wall Street rose on Monday buoyed by news of a deal on Iran's nuclear program and a generally positive economic outlook, but investors should discount most market moves in a trading week marked by holiday closings.
The Dow Jones Industrial Average rose 0.17 percent to 16,092, the S&P 500 increased by 0.07 percent to 1,805, as of 12:45 p.m., with both of those indexes climbing for the seventh straight week. The Nasdaq Composite Index climbed 0.2 percent to 3,999.
Trading will be light this week as markets will close on Thursday for Thanksgiving and will close early on Friday. The deal between Iran and world powers intended to scale back that nation's nuclear program boosted economic confidence , but lower trading activity during holiday weeks often causes prices to fluctuate, says Santosh Rao, senior equity analyst at Greencrest Research, a financial analysis firm.
"You are going to see the market move up quite a bit, but it is not a balanced market since it is a holiday week," Rao predicts. "If I was putting in new money I would wait for another week."
The upswing of the market in recent weeks has helped consumer confidence bounce back from the pessimism about the 16-day government shutdown in October, says Chris Christopher, an economist at IHS Global Insight. J.C. Penney stock spiked 3.61 percent on Monday, ahead of what promises to be a profitable holiday shopping week.