Dow Leaps Back Above 17000

U.S. stocks closed higher on Monday with the Dow leaping back above 17,000, as investors were encouraged by a slew of megadeals and better-than-expected earnings by Citigroup. The Dow Jones industrial average rose 111.61 points, or 0.66%, to 17,055.42. The Standard & Poor’s 500 gained 9.53 points, or 0.48%, to 1977.10. The Nasdaq composite added 24.93 points, or 0.56%, to 4,440.42.

Shire PLC said Monday it has received a new takeover proposal from AbbVie Inc. valued at more than $53 billion, which it would be willing to recommend to shareholders.

Citigroup has agreed to pay $7 billion to settle with the Justice Department over accusations of misdeeds in the lead-up to the financial crisis, including what Attorney General Eric Holder is calling “the largest penalty to date of its kind.

Volkswagen plans to expand its Chattanooga, Tenn., factory and start production of a seven- passenger sport-utility vehicle at the plant. The project will create about 2,000 jobs in the United States and an investment of about $900 million, including $600 million at the factory.

West Texas Intermediate oil settled near a two-month low amid ample U.S. supplies. WTI for August delivery rose 8 cents to settle at $100.91 a barrel on the New York Mercantile Exchange.