Wall Street has best day since summer

More market turbulence possible after jobs market update Friday

NEW YORK — The S&P 500 climbed 92.81 points to close at 3,678.43 on Monday. The Dow Jones Industrial Average gained 765.38 to 29,490.89, and the Nasdaq rose 239.82 to 10,815.43.

Still, cross currents continue to course through markets, and analysts largely expect sharp swings in prices to continue.

Crude oil prices jumped Monday amid speculation big oil-producing countries could soon announce cuts to production. That adds upward pressure on inflation.

It also lifted shares of energy-producing companies to big gains. Exxon Mobil leaped 5.3 percent, and Chevron climbed 5.6 percent.

Monday’s rally came despite an 8.6 percent drop for Tesla, one of the most influential stocks on Wall Street because of its massive market value. The maker of electric vehicles delivered fewer vehicles from July through September than investors expected.

Still, more turbulence for markets could arrive Friday, when the latest update on the U.S. jobs market hits. Along with its reports on inflation, the U.S. government’s jobs report has been one of the most highly anticipated pieces of data each month.

It will be the last jobs report before the Federal Reserve makes its next decision on interest rates, scheduled for Nov. 2, and continued strength would give the central bank more leeway to keep hiking.

Traders say the likeliest move is a fourth straight increase of a whopping three-quarters of a percentage point, triple the usual move.

The hope is to slow the economy just enough to starve inflation of the purchases needed to keep prices rising so quickly. But the Fed also risks causing a recession if it goes too far.

Stocks of high-growth companies and particularly risky or expensive investments have been the most affected by changes in rates.

Bitcoin rallied Monday with the reprieve in yields, while technology stocks did the heaviest lifting to carry the S&P 500. Apple and Microsoft both rose more than 3 percent.

For markets to make a meaningful move higher, many investors say they need to see a break in inflation that gets the Fed to ease off its aggressive path.

Such hopes for a Fed “pivot” by investors have repeatedly resurfaced this year, only to get shot down by further accelerations in inflation.