Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Dow marches toward 12,000

8dow.top.png By Annalyn Censky, staff reporter


NEW YORK (CNNMoney) -- Stocks got the week off to a solid start Monday, with the Dow slowly clawing its way toward the 12,000 mark.

The Dow Jones industrial average (INDU) closed at 11,980, up 109 points, or 0.9% from the prior trading session.

The blue-chip index has been on an upward trend since Thanksgiving, and is now within a stone's throw of 12,000 -- a level last seen on June 18, 2008.

Meanwhile, the S&P 500 (SPX) gained 7 points, or 0.6%; and the Nasdaq (COMP) rose 28 points, or 1%.

While analysts say a slight pullback could be in the cards soon, companies are reporting strong earnings, which should drive continued positive momentum over the long term.

"American companies are doing quite well, and I think that's going to eventually show up in the employment numbers," said Chad Cunningham, chief investment officer at Iron Horse Capital Management. "If we get any sort of a short-term technical pullback, I think it's a good time to allocate money to U.S. equities."

The rest of the week brings an onslaught of earnings results from blue chip companies, as well as the latest readings on consumer confidence, new home sales and the overall economy. Cunningham said he expects to see slight improvement in all the economic indicators.

Companies: After the bell, American Express (AXP, Fortune 500) reported earnings of 94 cents per share on revenue of $7.32 billion, falling just a hair short of analyst estimates. Its stock fell 1.1% in after-hours trading.

Shares of Amgen (AMGN, Fortune 500) also fell 0.5% in late trading, after the biotech giant announced earnings that barely beat the Street. Earnings from Texas Instruments (TXN, Fortune 500) came in slightly better than expected too, but its stock fell 2.2%.

Earlier during the trading session, RadioShack (RSH, Fortune 500) shares tumbled 11.4% after the electronics retailer forecast a weak fourth-quarter profit and announced its CEO Julian Day plans to retire in May.

The end of the year was tough on electronics retailers, with sales falling below expectations. Last month, Best Buy (BBY, Fortune 500) lowered its outlook for the full year.

JC Penney (JCP, Fortune 500) shares surged 7.2% after the retailer announced it has named prominent hedge fund manager William Ackman and Steven Roth, chairman of Vornado Realty Trust, to its board of directors. JC Penney also said it plans to close six unprofitable stores and continue phasing out its catalog business.

Before the opening bell, Halliburton (HAL, Fortune 500) logged better-than-expected earnings. Shares of the company rose 0.6%.

McDonald's (MCD, Fortune 500) reported earnings in line with expectations. Shares of the fast food chain rose 0.5%.

World markets: European stocks ended their session higher. Britain's FTSE 100 edged up 1.1%, France's CAC 40 rose 0.5% and the DAX in Germany was little changed.

Asian markets ended the session mixed. The Shanghai Composite slid 0.7% and the Hang Seng in Hong Kong fell 0.3%, as Japan's Nikkei ticked up 0.7%.

Economy: There are no major economic reports on tap for Monday.

Currencies and commodities: The dollar rose against the British pound, but fell against the euro and the Japanese yen.

Oil for March delivery slipped $1.24 to settle at $87.87 a barrel.

Gold futures for February delivery rose $2.90 to settle at $1,345.50 an ounce on the Chicago Mercantile Exchange.

Cocoa futures for March delivery jumped 4%, after the Ivory Coast put a one-month ban on cocoa exports.

Bonds: The price on the benchmark 10-year U.S. Treasury rose slightly, sending the yield down to 3.41%.  To top of page

Overnight Avg Rate Latest Change Last Week
30 yr fixed3.85%3.77%
15 yr fixed3.08%3.03%
5/1 ARM3.42%3.32%
30 yr refi3.82%3.76%
15 yr refi3.09%3.02%
Rate data provided
by Bankrate.com
View rates in your area
 
Find personalized rates:
Index Last Change % Change
Dow 23,273.96 -54.67 -0.23%
Nasdaq 6,586.83 -42.23 -0.64%
S&P 500 2,564.98 -10.23 -0.40%
Treasuries 2.38 -0.00 -0.21%
Data as of 7:48am ET
Company Price Change % Change
General Electric Co 22.32 -1.51 -6.34%
Bank of America Corp... 27.16 -0.01 -0.04%
Advanced Micro Devic... 14.10 0.29 2.10%
Seagate Technology P... 39.35 4.41 12.62%
AT&T Inc 35.25 -0.29 -0.82%
Data as of Oct 23

Sections

More than 5% of DACA recipients have started their own businesses since enrolling the program, according to a recent survey. More

Instead of raising money for the Red Cross or requesting help from the National Guard, dozens of grassroots operations have sprung up to help get aid and supplies to Puerto Rico any way they can. But it has not been easy. More

Tesla may be edging nearer to making its electric cars in China, but the U.S. company will still face barriers in the world's largest auto market. More

Becoming a flight attendant can mean traveling the world. But it's a tough gig to land. Delta is looking to hire 1,000 flight attendants to join its team. More