Hot Stock Minute

Dow closes above 17,000 again

Earnings and some Monday merger mania dominated the scene on Wall Street and helped push the Dow back over 17,000. The Dow (^DJI) ended 112 points higher at 17,0552, the Nasdaq  (IXIC) gained 25 points to close at 4,440 and the S&P 500 (^GSPC) finished 9.5 points higher at 1,977.

Citigroup (C) shares rose 3%, or $1.42, to close at $48.42 after it reached a $7 billion settlement with the Justice Department over shoddy mortgages sold in the run-up to the 2008 financial crisis. Citi also reported earnings and revenue that topped estimates, when you take out settlement-related charges.  

The news helped lift shares of other big banks. JPMorgan Chase (JPM)  Bank of America (BAC), Goldman Sachs (GS) and Morgan Stanley (MS) all ended the day higher.

There were a couple of tax-inversion related deals. Shire (SHPG) closed up $5.21 at $254.27 after it received a new $53 billion takeover bid from U.S. drug firm AbbVie (ABBV), which it said it is willing to recommend to  shareholders. Mylan (MYL) ended the day$1.04 higher at $51.24 after it said it will buy Abbott Lab’s (ABT) developed markets generic drug business in a deal valued at $5.3 billion dollars. Shares of Abbot Labs closed 52 cents higher at $41.82 on the news.

URS (URS) gained $6.38, or 12.3%, to close at $58.40 after Aecom Technology (ACM) said it would buy the construction management firm for $4 billion in cash and stock.

Sotheby's (BID) and eBay (EBAY) teamed up to build an online platform to provide live streams of auctions. The companies note that online art sales are estimated to increase to $13 billion by 2020. Shares of Sotheby's gained 40 cents to close at $40.09, while eBay shares fee 34 cents to $51.16.

Apple (AAPL) shares closed $1.23 higher at $96.45 after Barclays upgraded the stock to outperform from equal weight and raised the price target to $110 from $95. Morgan Stanley also raised its price target on Apple to $110 from $99.

Financial results will remain in focus tomorrow. JPMorgan Chase and Goldman Sachs are scheduled to report before the bell. Tech earnings from Intel (INTC) and Yahoo (YHOO) roll out after the close on Tuesday. 

Investors will also be paying close attention to Federal Reserve Chair Janet Yellen's testimony before the Senate Banking Committee on the economy and monetary policy. And the Commerce Department releases June Retail Sales at 8:30 a.m. Eastern.

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