Nasdaq Composite closes 2% higher Monday as tech stocks’ revival lifts major averages: Live updates
Traders work on the floor of the New York Stock Exchange (NYSE) on December 02, 2021 in New York City.

The major averages rose Monday, boosted by tech shares, as Wall Street tried to recover from a tough week.

The S&P 500 gained 1.41% to end at 4,763.54, and the Nasdaq Composite jumped 2.2% to close at 14,843.77. It was the tech-heavy index's best day since Nov. 14. The Dow Jones Industrial Average added 216.90 points, or 0.58%, settling at 37,683.01.

Investors are buying the dip with the technology sector, which lost 4% last week, as yields fell on Monday. Nvidia rose 6.4%, reaching an all-time high, and Amazon climbed nearly 2.7% to help pull the Nasdaq higher. Alphabet shares advanced 2.3%. Apple added 2.4% after Evercore ISI advised clients buy last week's dip. The VanEck Semiconductor ETF (SMH) jumped 3.5% for its best day since November.

The yield on the 10-year Treasury yield , meanwhile, lost about 3 basis points to trade at 4.012%.

Boeing , tempering the Dow's gains, fell 8% following the temporary grounding of dozens of Boeing 737 Max 9 aircraft for inspections, after a section of an Alaska Airlines fuselage blew out. At one point, the Dow was down more than 200 points on the day before making a recovery.

"I think it's still a new year, the same bull market with the same risk," Adam Turnquist, chief technical strategist at LPL Financial, said. Last week's losses coupled with Monday's moves on the 10-year yield have given investors "enough confidence to step back into tech," he said.

"The simple story is stocks were overbought and yields were oversold, and now we had an excuse for a little bit of a bounce in both directions...it's nothing really too concerning at this point," Turnquist added.

Wall Street is coming off its first losing week in 10 as mega-cap tech stocks such as Apple underperformed, and Treasury yields rose. The Dow slid 0.59%, and the S&P 500 dropped 1.52%. The Nasdaq Composite posted its worst weekly performance since September, falling 3.25%.

This week, traders may gain greater clarity into the path of rate cuts from the Federal Reserve. The December consumer price index is set for release Thursday, followed by the producer price index on Friday. Those numbers should show whether the central bank's efforts to bring inflation down to its 2% target are taking hold.

Correction: An earlier version misstated last week's moves for the Dow and the S&P 500.