Stock Market Update

[BRIEFING.COM] The Dow Jones Industrial Average (+0.64%) is in last place on Monday afternoon, up about 295 points.

A look inside the DJIA shows that Merck (MRK 101.85, +4.09, +4.18%), IBM (IBM 306.47, +9.03, +3.04%), and Caterpillar (CAT 563.62, +13.19, +2.40%) hold decent gains.

Meanwhile, Procter & Gamble (PG 147.31, -3.61, -2.39%) is underperforming.

The DJIA is now down -2.15% on the month.

Elsewhere, U.S. Treasuries trade at their best levels of the session with longer tenors maintaining their outperformance. The 2-yr note is little changed after recovering its modest early loss, holding at its best level after the U.S. Treasury sold $69 bln in 2-yr notes to good demand. The sale drew a high yield of 3.489%, which was right on the screws. The bid-to-cover ratio (2.68x) was a touch above average (2.62x) while indirect takedown (58.1%) was a bit light relative to the prior 12-auction average (65.3%). The U.S. Treasury will sell $70 bln in 5-yr notes tomorrow.