The Dow climbed 236.08 points, or 0.89%, to close at 26,664.40. The S&P 500 gained 0.72% to end the day at 3,294.61. The Nasdaq Composite advanced 1.47% to 10,902.80, hitting an all-time high. The major averages started the new month on a high note as tech shares outperformed.
Microsoft gained more than 5.62% after confirming reports about being in talks to buy social video app TikTok in the U.S. The talks come even as President Donald Trump threatens to ban TikTok because of security concerns over its parent company's ties to China. Apple was a major gains contributor as well, climbing tk%.
Eli Lilly announced the start of a phase 3 trial of LY-CoV555, an experimental coronavirus antibody treatment that may prevent the virus from spreading among U.S. nursing home staffers and residents. The stock gained 1.70%. Stocks got a boost from better-than-expected manufacturing data. The Institute for Supply Management's manufacturing PMI rose to 54.2 in July, topping a Dow Jones estimate of 53.8.