From the Associated Press:
Wall Street extended its October rally Monday as investors grew more optimistic about upcoming earnings reports and Wal-Mart Stores Inc. said it will cut capital spending to drive overall returns. The Dow Jones industrials shot up more than 110 points and crossed 12,100 for the first time.
Generally upbeat reports have instilled a new confidence about the future in investors, and allowed them to lay down some bets about the future just half-way through third-quarter earnings season.
...
Blue chips resumed a three-month rally after stalling Friday; the Dow briefly surpassed 12,100 and reached a new trading high of 12,117.95, eclipsing the old mark of 12,049.51 set last week. Broader market indexes also gained, shrugging off concerns about the Federal Reserve's decision on interest rates later this week.
"The picture being painted is pretty easy to suggest that the pressure on the economy from higher oil prices is easing," said Richard E. Cripps, chief market strategist at Stifel Nicolaus. The price of oil, which fell to lows for the year Friday from its mid-July highs, is making investors more bullish on sectors like retail, which stand to benefit if consumers have more spending money.
In midday trading, the Dow Jones industrial average rose 110.22, or 0.92 percent, to 12,112.59. Blue chips passed 12,000 for the first time last week.
Broader stock indicators also surged. The Standard & Poor's 500 index rose 8.71, or 0.64 percent, to 1,377.71, and the Nasdaq composite index rose 17.71, or 0.76 percent, to 2,360.01.
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