Markets

Here's what happened to the stock market on Monday

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Dow Jones Industrial Average rises 130 points

The Dow gained 132.66 points, or 0.49% to close at 27,090.72. The S&P 500 climbed 0.56% to end the day at 3,039.42. The Nasdaq Composite advanced 1% to 8,325.99. Better-than-expected earnings and U.S.-China trade progress led to a banner day on Wall Street.

S&P 500 hits record after weeks of stalling

The S&P 500 broke above 3,027.98 on Monday, breaching a record high set July 26. The move to all-time highs came after strong earnings from companies such as AT&T and Spotify lifted investor sentiment. Stocks also got a boost after China's Commerce Ministry said Chinese and U.S. officials agreed to address issues at the trade war's core. This comes after U.S. and Chinese officials said they were "" some parts of a trade agreement.

The move to an S&P 500 record follows several attempts by the index to breach its previous all-time high. The broad index made got within striking distance of the record on multiple occasions in recent weeks. Several chart analysts think this move sets up the S&P 500 for further gains, but the market faces several hurdles including a Federal Reserve meeting later this week.

Tiffany and Fitbit surge

Tiffany shares jumped more than 31% after LVMH confirmed it was interested in buying the jewelry maker. Shares of Fitbit also jumped more than 30% after a report said Google-parent Alphabet was mulling over a buyout of the exercise device maker.

What happens next?

Investors will turn their attention to Alphabet's quarterly results, which are due out after the close Monday. Housing data will also be at the forefront, with S&P CoreLogic Case-Shiller U.S. National Home Price Index and pending home sales numbers set for release Tuesday. Read more here.

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