NEW YORK ( TheStreet) -- Stocks closed higher Monday as a surge in M&A activity, a rise in consumer spending and reports that a bailout plan for Greece is in the works eased concerns about the recovery's sustainability.
The Dow Jones Industrial Average closed up 79 points, or 0.8%, to 10,404. The S&P 500 gained 11 points, or 1%, to 1116 and the Nasdaq went higher by 35 points, or 1.6%, to 2274.
"Our concern -- and a broad swatch of the market's concern -- is not whether we're in a recovery, but whether we'll be able to sustain the recovery," said Jim Baird, partner and chief investment strategist for Plante Moran Financial Advisors.Baird said the market is looking for signs that the recovery will hold up even after there's a handoff to consumers when government spending fades. "Signs that there will be some favorable resolution to Greece debt issues, all the M&A news -- which is generally deemed to be a bullish factor for equities -- and signs that consumers are feeling better enough about their situations to ramp up spending, all of these factors came together today to make markets more positive about the recovery's sustainability," Baird said.