Updated from 4:04 p.m. EDTStocks in the U.S. started the fourth quarter with big gains Monday, as traders shook off news from banking giants Citigroup ( C) and UBS ( UBS) that the late summer credit market meltdown would slice into their results. The Dow Jones Industrial Average gained 191.92 points, or 1.38%, to 14,087.55, a record close for the blue-chip index. The Dow was last above the 14,000 level on July 19, the only time it had ever finished above that mark. Among the Dow's 30 components, Verizon ( VZ), McDonald's ( MCD) and Hewlett-Packard ( HPQ) were the best performers, climbing at least 2.4%. Elsewhere, the S&P 500 was up 20.29 points, or 1.33%, at 1547.04, and the Nasdaq Composite added 39.49 points, or 1.46%, to 2740.99. Breadth was solidly positive to start the week. On the New York Stock Exchange 3.33 billion shares changed hands, as advancers topped decliners by a 3-to-1 margin. Volume on the Nasdaq reached 1.94 billion shares, with winners outpacing losers nearly 7 to 3. The news of the day came from Citigroup, who said it was expecting third-quarter earnings to drop 60% from a year ago. The main culprit is a $3.3 billion hit to its securities and banking unit that's tied to the crisis that seized up the mortgage-securities market a few weeks back. "Our expected third-quarter results are a clear disappointment," said Charles Prince, chairman and CEO of Citigroup. "The decline in income was driven primarily by weak performance in fixed-income credit market activities, write-downs in leveraged loan commitments, and increases in consumer credit costs."