China trade talks boost market

News that the U.S. and China are open to negotiating to avert a trade war put investors in a buying mood Monday, giving the market its best day in more than two years and erasing about half of its huge losses last week.

Technology companies accounted for much of the broad rally, which powered the Dow Jones industrial average to a gain of nearly 670 points. Microsoft was the biggest gainer in the 30-company Dow and the Standard & Poor’s 500 index, climbing nearly 8 percent.

Banks also notched solid gains, benefiting from a pickup in bond yields.

The market rebound followed the worst week for U.S. stocks in two years as investors traded last week’s jitters for a more optimistic outlook on trade, and an opportunity to buy.

The Standard & Poor’s 500 index rose 70.29 points, or 2.7 percent, to 2,658.55. The Dow Jones industrial average gained 669.40 points, or 2.8 percent, to 24,202.60. The Dow lost more than 1,400 points last week and is still down slightly for the year.

The Nasdaq added 227.88 points, or 3.3 percent, to 7,220.54. The Russell 2000 index of smaller-company stocks picked up 33.63 points, or 2.2 percent, to 1,543.72.

All told, the Dow, S&P 500 and Nasdaq posted their best one-day gains since August 2015, making up slightly more than half of the market’s losses on Thursday and Friday.

Remington files for bankruptcy

Remington, the storied gun-maker that began turning out flintlock rifles when there were only 19 states in the Union, has filed for bankruptcy reorganization amid years of slumping sales and legal and financial pressure over the Sandy Hook school massacre.

In papers filed Sunday in federal bankruptcy court in Delaware, Remington outlined a plan to turn over control to its creditors and continue operating with up to $100 million from lenders. It remains unclear what will happen to its 3,500 or so employees as it tries to put its finances in order.

Remington, whose roots go back to 1816, when the Western frontier beckoned, saw its debts mount with the election of President Donald Trump, who has called himself a “true friend” of the National Rifle Association but whose victory ended years of panic-buying by people afraid a Democrat in the White House would crack down on guns.

— From wire reports