NEW YORK, Dec. 12 (Xinhua) -- Wall Street's major averages rallied on Monday as investors awaited a key U.S. inflation report and the Federal Reserve's policy meeting.
All the 11 primary S&P 500 sectors ended in green, with energy and utilities up 2.49 percent and 2.27 percent, respectively, leading the advance.
The above market reactions came as the highly-anticipated U.S. consumer price index for November is due on Tuesday.
The Fed will start a two-day policy meeting on Tuesday, followed by a rate decision on Wednesday.
Markets are pricing in a 74.7 percent chance of a 50 basis point hike at the Fed's December meeting, according to the CME FedWatch tool on Monday.
Despite Monday's strong rally, analysts said conditions for a sustained upturn are not yet in place.
While the Fed is expected to moderate the pace of rate hikes to 50 basis points at this week's meeting, "the new dot-plot, economic projections, and comments around the likely trajectory of rates next year, will be key drivers for markets and are likely to spark further volatility," UBS analysts said Monday in a note.
Last week, the Dow fell 2.8 percent, the S&P 500 dropped 3.4 percent, and the tech-heavy Nasdaq tumbled 4 percent, as market participants remained concerned about the economic landscape.