PHOTO COLLECTION: AP Top Photos of the Day, Monday, November 25, 2024

This is a collection of photos chosen by AP photo editors.

A resident salvages belongings from his burned home the day after a fire broke out, leaving thousands of families homeless, in a poor area of Manila, Philippines, Monday, Nov. 25, 2024. (AP Photo/Aaron Favila)

Los Angeles Rams wide receiver Puka Nacua, left, cannot catch a pass against Philadelphia Eagles cornerback Darius Slay Jr. during the first half of an NFL football game in Inglewood, Calif., Sunday, Nov. 24, 2024. (AP Photo/Ryan Sun)

Dr. Jorge Fusaro examines Issac Santos during a home visit in the rural community of Pie de la Cuesta on the Cerro Chañi, in the Jujuy province of Argentina, Friday, May 3, 2024. (AP Photo/Rodrigo Abd)

A protester shouts during a rally demanding new parliamentary elections in Tbilisi, Georgia, Monday, Nov. 25, 2024. (AP Photo/Shakh Aivazov)

Police detain a Congress party supporter during a protest against Indian billionaire Gautam Adani and Indian Prime Minister Narendra Modi after Adani was indicted by U.S. prosecutors for bribery and fraud in New Delhi, India, Monday, Nov. 25, 2024. (AP Photo/Shonal Ganguly)

The traditional 45 meter high Dortmund Christmas tree, one of the world's largest, is illuminated for the first time this year at the Christmas market in Dortmund, Germany, Monday, Nov. 25, 2024. (AP Photo/Martin Meissner)

Los Angeles Lakers forward Anthony Davis, second from left, shoots as Denver Nuggets forward Michael Porter Jr. defends during the first half of an NBA basketball game, Saturday, Nov. 23, 2024, in Los Angeles. (AP Photo/Mark J. Terrill)

The sun rises behind buildings of the banking district in Frankfurt, Germany, Monday, Nov. 25, 2024. (AP Photo/Michael Probst)

Liverpool's Mohamed Salah celebrates after scoring during the English Premier League soccer match between Southampton and Liverpool in Southampton, England, Sunday, Nov. 24, 2024. (AP Photo/Sean Ryan)

Soldiers recover a piece of furniture from a home flooded by a landslide caused by heavy rains in La Paz, Bolivia, Sunday, Nov. 24, 2024. (AP Photo/Juan Karita)

Red shoes placed on the ground as a symbol against the violence on women, during a rally marking the International Day for the Elimination of Violence Against Women, in Berlin, Germany, Monday, Nov. 25, 2024. (AP Photo/Markus Schreiber)

An Israeli bomb squad police officer carries the remains of a rocket that was fired from Lebanon in Kibbutz Kfar Blum, northern Israel Sunday Nov. 24, 2024. (AP Photo/Ohad Zwigenberg)

Bulldozers remove the rubble of a destroyed building that was hit Sunday night in an Israeli airstrike in Dahiyeh, in the southern suburb of Beirut, Lebanon, Monday, Nov. 25, 2024. (AP Photo/Hussein Malla)

A woman carries a gift basket as she arrives at a park to attend a friend's birthday party, Sunday, Nov. 24, 2024, in Kampala, Uganda. (AP Photo/David Goldman)

Supporters of the Frente Amplio (Broad Front) celebrate the victory of candidate Yamandú Orsi in the presidential run-off election in Montevideo, Uruguay, Sunday, Nov. 24, 2024. (AP Photo/Natacha Pisarenko)

A couple takes photos at the summit of Haleakala National Park, Saturday, Nov. 23, 2024, near Kula, Hawaii. (AP Photo/Lindsey Wasson)

NEW YORK (AP) — U.S. stocks rose Monday, with those benefiting the most from lower interest rates and a stronger economy leading the way.

The S&P 500 climbed 0.3% to pull closer to its all-time high set two weeks ago. The Dow Jones Industrial Average added 440 points, or 1%, to its own record set on Friday, while the Nasdaq composite rose 0.3%.

Treasury yields also eased in the bond market amid what some analysts called a “Bessent bounce” after President-elect Donald Trump said he wants Scott Bessent, a hedge fund manager, to be his Treasury Secretary.

Bessent has argued for reducing the U.S. government’s deficit, which is how much more it spends than it takes in through taxes and other revenue. Such an approach could soothe worries on Wall Street that Trump’s policies may lead to a much bigger deficit, which in turn would put upward pressure on Treasury yields.

After climbing above 4.44% immediately after Trump’s election, the yield on the 10-year Treasury fell back to 4.26% Monday, down from 4.41% late Friday. That’s a notable move, and lower yields make it cheaper for all kinds of companies and households to borrow money. They also give a boost to prices for stocks and other investments.

That helped stocks of smaller companies lead the way, and the Russell 2000 index of smaller stocks jumped 1.5%. It finished just shy of its all-time high, which was set three years ago. Smaller companies can feel bigger boosts from lower borrowing costs because of the need for many to borrow to grow.

The two-year Treasury yield, which more closely tracks the market’s expectations for what the Federal Reserve will do with overnight interest rates, also eased sharply.

The Fed began cutting its main interest rate just a couple months ago from a two-decade high, hoping to keep the job market humming after bringing inflation nearly all the way down to its 2% target. But immediately after Trump’s victory, traders had reduced bets for how many cuts the Fed may deliver next year. They were worried Trump’s preference for lower tax rates and higher spending on the border would balloon the national debt.

A report coming on Wednesday could influence how much the Fed may cut rates. Economists expect it to show that an underlying inflation trend the Fed prefers to use accelerated to 2.8% last month from 2.7% in September. Higher inflation would make the Fed more reluctant to cut rates as deeply or as quickly as it would otherwise.

Goldman Sachs economist David Mericle expects that to slow by the end of next year to 2.4%, but he said inflation would be even lower if not for expected tariff increases on imports from China and autos favored by Trump.

In the stock market, Bath & Body Works jumped 16.5% after delivering stronger profit for the latest quarter than analysts expected. The seller of personal care products and home fragrances also raised its financial forecasts for the full year, even though it still sees a “volatile retail environment” and a shorter holiday shopping season this year.

Much focus has been on how resilient U.S. shoppers can remain, given high prices across the economy and still-high interest rates. Last week, two major retailers sent mixed messages. Target tumbled after giving a dour forecast for the holiday shopping season. It followed Walmart, which gave a much more encouraging outlook.

Another big retailer, Macy’s, said Monday its sales for the latest quarter were in line with its expectations, but it will delay the release of its full financial results. It found a single employee had intentionally hid up to $154 million in delivery expenses, and it needs more time to complete its investigation.

Macy’s stock fell 2.2%.

Among the market’s leaders were several companies related to the housing industry. Monday’s drop in Treasury yields could translate into easier mortgage rates, which could spur activity for housing. Builders FirstSource, a supplier or building materials, rose 5.9%. Homebuilders, D.R. Horton, PulteGroup and Lennar all rose at least 5.6%.

All told, the S&P 500 rose 18.03 points to 5,987.37. The Dow Jones Industrial Average jumped 440.06 to 44,736.57, and the Nasdaq composite gained 51.18 to 19,054.84.

In stock markets abroad, indexes moved modestly across much of Europe after finishing mixed in Asia.

In the crypto market, bitcoin was trading below $95,000 after threatening to hit $100,000 late last week for the first time.

AP Business Writer Elaine Kurtenbach contributed.

FILE - People work on the New York Stock Exchange trading floor in New York on November 21, 2024. (AP Photo/Ted Shaffrey, File)

FILE - The New York Stock Exchange is shown on Wednesday, Nov. 20, 2024, in New York. (AP Photo/Peter Morgan, File)

A currency trader talks on the phone near the screens showing the foreign exchange rates at a foreign exchange dealing room in Seoul, South Korea, Monday, Nov. 25, 2024. (AP Photo/Lee Jin-man)

Currency traders work near the screens showing the Korea Composite Stock Price Index (KOSPI), left, the foreign exchange rate between U.S. dollar and South Korean won at a foreign exchange dealing room in Seoul, South Korea, Monday, Nov. 25, 2024. (AP Photo/Lee Jin-man)

A currency trader talks on the phone near the screen showing the foreign exchange rate between U.S. dollar and South Korean won at a foreign exchange dealing room in Seoul, South Korea, Monday, Nov. 25, 2024. (AP Photo/Lee Jin-man)

A currency trader walks near the screens showing the Korea Composite Stock Price Index (KOSPI), left, the foreign exchange rate between U.S. dollar and South Korean won and the Korean Securities Dealers Automated Quotations (KOSDAQ) at a foreign exchange dealing room in Seoul, South Korea, Monday, Nov. 25, 2024. (AP Photo/Lee Jin-man)