U.S. stocks jumped to fresh highs Monday after Senate leaders said they reached a deal to end the federal government shutdown.
Continue Reading Below
Investors had largely shrugged off the shutdown, which began after the Senate rejected a one-month spending bill late Friday night and appeared to be drawing to a close around the end of the U.S. trading day.
Economic growth around the world has been solid, helping stocks to keep powering higher, even after Congress came to a standstill over legislation in Washington.
Investors also have largely bet that the Federal Reserve will stick to a gradual course of interest-rate increases in 2018 -- something they say should help stocks trading near records continue their ascent.
"The market has blinders on," said Kristina Hooper, chief global market strategist at Invesco. "The focus is on sentiment, and with tax cuts and global growth, you've got plenty of things investors feel good about."
The Dow Jones Industrial Average added 142.88 points, or 0.5%, to 26214.60. The S&P 500 climbed 22.67 points, or 0.8%, to 2832.97, and the Nasdaq Composite rose 71.65 points, or 1%, to 7408.03, with all three indexes notching record closes.
Continue Reading Below
Gains were broad, with nine of the S&P 500's 11 sectors advancing.
Shares of energy companies in the S&P 500 rose 2.1%, following U.S. crude-oil prices higher.
Halliburton Co. rose $3.39, or 6.4%, to $56.40 after the company reported better-than-expected earnings for the fourth quarter, while Noble Energy Inc. rose 1.25, or 4%, to 32.94.
U.S. crude for February delivery rose 0.2% to $63.49 a barrel.
Meanwhile, reports of corporate deals boosted biotechnology shares, helping lift the tech-heavy Nasdaq past the S&P 500 and Dow industrials.
Juno Therapeutics shares jumped 18.19, or 27%, to 86.00 after Celgene said it agreed to buy the firm for about $9 billion, while Celgene shares climbed 26 cents, or 0.3%, to 102.91.
Elsewhere, the Stoxx Europe 600 edged up 0.3%, boosted by a rise in shares of oil-and-gas companies and banks.
Japan's Nikkei Stock Average ended the day flat, while Hong Kong's Hang Seng Index rose 0.4% to another record close.
Shares of some Apple suppliers declined across the region, however, dragging down some tech-heavy indexes.
South Korea's Kospi fell 0.7% amid a drop in shares of index heavyweight Samsung Electronics.
Kenan Machado contributed to this article.
Write to Akane Otani at email@example.com and Riva Gold at firstname.lastname@example.org
(END) Dow Jones Newswires
January 22, 2018 17:14 ET (22:14 GMT)