Stocks opened higher Monday while oil prices slipped and bond yields fell.
Senate Democrats passed legislation late Sunday that delivers on climate, healthcare and taxes.
Wall Street is awaiting key inflation data due out on Wednesday.
US stocks opened higher Monday as bond yields and oil prices fell, while Wall Street braces for an important inflation report midweek.
Traders were also weighing the impact of a key piece of President Biden's economic agenda, which Senate Democrats passed in vote late Sunday along party lines. Vice President Kamala Harris delivered the tie-breaking vote to send the bill to the House and then to Biden's desk.
The legislation is a far cry away from its original shape that consisted of $3.5 trillion in new spending on climate change, healthcare and taxes. The new bill includes roughly $700 billion in spending, which was only agreed upon after extended negotiations with holdouts Senators Joe Manchin and Kirsten Sinema.
Meanwhile, a stronger than expected jobs report on Friday has Wall Street rethinking recession risks while also weighing another benchmark interest rate hike from the Federal Reserve to further cool inflation. Consumer Price Index data for July will be released on Wednesday.
Here's where US indexes stood shortly after the 9:30 a.m. ET opening bell on Monday:
S&P 500: 4,169.08, up 0.58%
Dow Jones Industrial Average: 33,000.04, up 0.6% (196.57 points)
Nasdaq Composite: 12,739.97, up 0.75%
Gas prices could tick back up after falling from $5 a gallon in June, according to a report from Goldman Sachs, highlighting supply constraints creating upward pressure on prices.
Economist Mohamed El-Erian thinks that the Fed's slow response to scorching inflation will cause "collateral damage" to the economy. The central bank raised benchmark rates 75-basis points in June and July meetings while chair Jerome Powell says the Fed's next moves will be data-dependent.
And investors could feel the brunt of that pain, as stocks will react negatively to more rate increases, says Mark Mobius. The famed emerging markets investor previously asserted he sees rates climbing to as much as 7%.
West Texas Intermediate crude oil ticked down 1.30% to $88 a barrel. Brent crude, the international benchmark, fell 0.92% to $94.02.
Gold climbed 0.39% to $1,781,62. The yield on 10-year Treasury note fell 4.6 basis points to 2.794%.
Bitcoin climbed to $24,080.57.