The U.S. stock market experienced a steady rise on Monday, with the S&P 500, Nasdaq Composite, and Dow Jones Industrial Average all showing slight increases. This stability follows the strongest weekly performance in a year, as investors await Federal Reserve Chair Jerome Powell’s speech at the Jackson Hole symposium. The S&P 500 edged up by 0.1%, while the Dow Jones fluctuated around the unchanged mark. The Nasdaq Composite also saw a slight increase of 0.1%.

The recent surge in prices has recovered losses incurred during an early August downturn, which had raised concerns about economic vulnerabilities. These worries have since been alleviated by positive data on inflation and consumer spending. The market is now poised to solidify the robust gains achieved last week, with a sense of tranquility returning to a market previously unsettled by recession fears.

Attention is shifting towards Powell’s upcoming address, which may alter expectations regarding interest rate reductions. As of Monday morning, traders are pricing in a 72% chance of a 0.25% rate reduction and a 28% chance of a 0.50% cut. The release of the minutes from the Fed’s July meeting on Wednesday could influence these projections. Additionally, investors are keeping a close watch on the Democratic National Convention, which may provide further clarity regarding the expectations for presidential nominee Kamala Harris.

Overall, the market is showing resilience and optimism, with the long-term case for stocks remaining intact despite recent volatility.