Wall Street surged to new record highs

Wall Street surged to new record highs

Stocks on Wall Street surged on Monday (Tuesday morning GMT ) , closed at a new record high after strong economic data provide new momentum for a rally last week .

The Dow Jones Industrial Average rose 73.47 points ( 0.45 percent) to 16,294.61 , while the broad -based S & P 500 rose 9.67 points ( 0.53 percent) to 1827.99 . Both are new records , which is constructed from a record close on Friday ( 20/12 ) .

Meanwhile, the tech -heavy Nasdaq composite index increased 44.16 points ( 1.08 percent) to 4148.90 .

Reached a new high after new data showed the U.S. Commerce Department in a 0.5 percent increase in consumer spending in November , an increase in the second month in a row .

Estimates of consumer confidence by the University of Michigan also showed improvement in December .

" Very good economic news , " said Peter Cardillo , chief market economist at Rockwell Global Capital . " It's all about the economy growing at a faster rate . "

Data Monday came after a surprise rise in gross domestic product growth forecast for the third quarter and the U.S. Federal Reserve's actions to reduce its bond -buying program last week , as the economy improves .

Technology giant Apple jumped 3.8 percent after announcing it reached agreement with the long-awaited China Mobile to significantly increase the presence of the iPhone on the largest wireless carrier in the world .

Facebook rose 4.8 percent after Cantor Fitzgerald increase its profit forecast , citing strong advertising performance during the crucial holiday shopping period . Monday was also the first day of trading since Facebook added to the prestigious S & P index of 500 .

Other technology companies also rose , up 1.3 percent including Google , Twitter and LinkedIn rose 7.6 percent increased 0.6 percent . A report Monday said mobile consumers spend more time on sites associated with these companies , according to Bank of America Merrill Lynch .

Jos Bank Clothiers slumped 1.3 percent after announcing it had rejected a takeover proposal from Mens Wearhouse after concluding the company offers "significantly undervalued " .

Jos Bank said it would continue to seek strategic acquisition opportunities . Mens Wearhouse fell 0.7 percent .

Micron Technology lost 3.1 percent after Bank of America Merrill Lynch downgraded the chip maker 's stock , citing offers more promising than other competitors .

Bond prices fell . The yield on U.S. 10-year bonds rose to 2.93 percent from 2.89 percent , while the 30 - year bond edged up to 3.84 percent from 3.82 percent . Prices and bond yields move inversely , AFP reported .