Stocks rise in hopes of tax cuts

NEW YORK — U.S. stocks climbed again Monday and set more records as investors grew more certain Republicans will pass their tax plan this week. Technology companies climbed, as did banks and retailers, which are likely to see lower taxes.

The Standard & Poor’s 500 index gained 14.35 points, or 0.5 percent, to 2,690.16. The Dow Jones industrial average advanced 140.46 points, or 0.6 percent, to 24,792.20. The Nasdaq composite traded above 7,000 for the first time but later slipped below that milestone. It rose 58.18 points, or 0.8 percent, to 6,994.76. The Russell 2000 index of smaller-company stocks climbed 18.50 points, or 1.2 percent, to 1,548.92.

Stocks have made hefty gains as Republicans appeared to shore up enough support to pass the bill. Congressional Republicans are scheduled to start voting on the legislation today. The biggest gains have gone to companies that pay relatively higher tax rates, including smaller, U.S.-focused companies, banks and retailers.

“A lot of those companies don’t have, or haven’t taken advantage of, all of the nooks and crannies of the tax code,” said Jason Pride, director of investment strategy at Glenmede. He thinks the average company will get a roughly 4 percent boost to its profits, and a tax break on corporate investment could push companies to spend more money on equipment.

Deal news also helped put investors in a buying mood.

Chocolate and candy maker Hershey agreed to buy Amplify Snack Brands for $12 a share, or $1.2 billion. Amplify’s foods include Skinny Pop popcorn, Tyrrells potato chips and Oatmega protein bars. Amplify went public in August 2015 at $18 a share but had fallen steadily for more than a year. On Monday its stock jumped $5.01, or 71.6 percent, to $12.01. Hershey added 12 cents to $114.26.

Financial companies including regional U.S. banks did well Monday. Fifth Third Bancorp rose 44 cents, or 1.5 percent, to $30.47 and KeyCorp gained 40 cents, or 2 percent, to $20.16.

Among smaller companies, wheel and tire supplier Titan International climbed $1.05, or 8.9 percent, to $12.84. Clothing retailer Abercrombie & Fitch rose $1.12, or 6.7 percent, to $17.83. Instant-win lottery ticket maker Scientific Games advanced $1.25, or 2.5 percent, to $52.10.

Other leaders included technology companies. Apple gained $2.45, or 1.4 percent, to $176.42, another all-time high. Cloud services provider Akamai Technologies leaped after Elliott Management, led by activist investor Paul Singer, disclosed a 6.5 percent stake in the company and said it wants to discuss changes to the company’s business and other areas. Akamai climbed $7.91, or 13.7 percent, to $65.67.

Benchmark U.S. crude declined 14 cents to $57.16 a barrel in New York. Brent crude, used to price international oils, gained 18 cents to $63.41 a barrel in London.

Gold rose $8 to $1,265.50 an ounce. Silver added 14 cents to $16.21 an ounce. Copper picked up 1 cent to $3.15 a pound.

Bond prices dipped. The yield on the 10-year Treasury note rose to 2.39 percent from 2.35 percent.