NEW YORK (TheStreet) - The major U.S. stock indices all gained more than 1% Monday, rebounding from their worst weekly performance of 2012, as international leaders took steps to calm fears about the future of the euro.
Wall Street saw its best session since the beginning of May on a welcome dose of M&A activity with Eaton Corp. (ETN) agreeing to buy Cooper Industries (CBE) for $11.8 billion in cash and stock. Shares of Cooper Industries soared 25%.
News that the Chinese government plans to undertake measures to boost the world's second largest economy also helped market sentiment.
A glaring negative was the heavy selling pressure on Facebook (FB), which made a shaky public debut on Friday. Shares of the social networking giant dived on Monday though, breaking well below their offering price of $38 each and losing roughly 11% to close at $34.03..The Dow Jones Industrial Average rose 135 points, 1.1%, to close on a high note at 12,504. The blue-chip index had lost ground in six straight sessions, and 12 of the past 13 trading days. The S&P 500 jumped 21 points, or 1.6%, to close at 1316, moving off a fourth-month low. The Nasdaq surged 68 points, or nearly 2.5%, to close at 2847. Apple (AAPL) surged nearly 6%.
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