Stocks Rose; Dow Closed at Record

U.S. stocks ended higher on Tuesday, with the Dow industrials closing at a record, as investors welcomed robust car sales data. The Dow Jones Industrial Average added 102.75 points, or 0.58%, to 17,879.55. The S&P 500 gained 13.11 points, or 0.64%, to 2,066.55. The Nasdaq Composite was up 28.46 points, or 0.60%, to 4,755.81.

General Motors Co. (GM), Toyota Motor Corp. (7203), Honda Motor Co. and Fiat Chrysler Automobiles NV (FCAU) said U.S. auto sales rose more than analysts estimated last month as Black Friday specials attracted flocks of consumers.

The middle class is feeling the squeeze, cutting spending on discretionary items and activities while costs on larger-ticket necessities have risen. The Wall Street Journal analyzed consumer-spending data from the Bureau of Labor Statistics between 2007 and 2013, finding while incomes have remained flat, the cost of essentials such as housing and healthcare have increased.

RadioShack on Tuesday rejected lender Salus Capital’s claim that it breached covenants on a $250 million term loan. The electronic retailer said it plans to “vigorously contest” the allegations, calling them “wrong and self-serving.