Stocks Closed at Record Highs as Oil Rallied

U.S. stocks closed at record highs on Monday, thanks in part to a sharp uptick in oil prices, which boosted energy and materials shares. The Dow Jones Industrial Average gained 59.58 points, or 0.32%, to 18,636.05. The S&P 500 rose 6.10 points, or 0.28%, to 2,190.15. The Nasdaq Composite advanced 29.12 points, or 0.56%, to 5,262.02.

Oil futures settled higher Monday as bets that the prolonged price rout may drive major producers to reconsider a collective production cap lifted prices to their highest level in about a month. September West Texas Intermediate crude added $1.25, or 2.8%, to settle at $45.74 a barrel. October Brent crude rose $1.38, or 2.9%, to $48.35 a barrel.

Federal Reserve Bank of San Francisco President John Williams called for monetary and fiscal policy makers to rethink the way they operate, saying America is getting a taste of a new economic normal that warrants a change in orthodoxy.

Warren Buffett’s Berkshire Hathaway Inc (BRKa.N) on Monday said it has increased its stake in Apple Inc (AAPL.O) by 55 percent, boosting its bet on the iPhone and iPod maker even as prominent investors like Carl Icahn and George Soros have reduced theirs.

Aug 15 Foreigners sold long-term U.S. securities in June, after buying them the previous month, data from the U.S. Treasury Department showed on Monday. Offshore investors sold $3.6 billion in long-term securities in June, after buying $40.8 billion in May.