NEW YORK -- U.S. stocks, having taken a quick breather from a post-election rally, resumed the surge Wednesday on the back of strong economic and corporate news.
The Dow Jones industrial average rose 61.92 or 0.59 percent to 10,549.57 on a volume of 1.26 billion. The Nasdaq composite gained 21.06 or 1.01 percent to 2,099.68, and the Standard & Poor's 500 picked up 6.51 or 0.55 percent to 1,181.94.
Kmart and Sears announced an $11 billion merger to create the nation's third largest retailer. Shares of both companies soared on the news.
Hewlett-Packard reported a 27 percent increase in fiscal fourth-quarter profit and a 7.7 percent jump in revenue.
Meanwhile, October housing starts increased 6.4 percent to the highest level of the year.
The 10-year Treasury note gained 17/32, or $2.19 for each $1,000 invested, for a 4.15 percent yield.
The dollar fell to 103.90 yen from 105.39, while the euro rose to $1.3037 from $1.2957.
Tokyo's Nikkei 225 fell 30.46 points or 0.3 percent to 11,131.29. London's FTSE 100 closed at 4,794.60 after rising 24.20 or 0.51 percent.
