Dow rises for 6 straight days on positive corporate news

Several big acquisitions and a strong earnings report from Loews Corp. pushed stocks higher Monday.

Pride International Inc. rose 16 percent after Ensco PLC, a London-based oil rig operator, said it would buy the offshore driller for $7.3 billion.

Beckman Coulter Inc. gained 10 percent after Danaher Corp. said it plans to buy the manufacturer of medical diagnostic tests for $5.8 billion.

Loews rose 4 percent. The company, which owns Loews hotels and the property insurer CNA Financial Corp., said falling costs helped earnings rise 16 percent even as revenue slipped slightly. The results were higher than analysts were expecting and helped push financial companies higher.

The Dow Jones industrial average rose 69.48 points, or 0.6 percent, to 12,161.63. The Dow has now risen for six straight days, its longest winning streak since November.

The Standard & Poor’s 500 index rose 8.18, or 0.6 percent, to 1,319.05. The Nasdaq composite gained 14.69, or 0.5 percent, to 2,783.99.

 

FDIC advances bonus rule designed to cut risk-taking

Federal regulators have proposed making top executives at large financial firms wait at least three years to be paid half of their annual bonuses, a move designed to cut down on risky financial transactions.

The Federal Deposit Insurance Corp. voted Monday to advance the rule, which builds on more general requirements in last year’s financial regulatory law to curtail risk-taking. The rule targets firms with $50 billion or more in assets, seeking to tie bonuses with financial performance over a longer time period.

Other financial regulators must also adopt the bonus rule before it is finalized. They are expected to act in the next few weeks, and the final rule could take effect by the fall, officials said.