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Who's Afraid of the Fiscal Cliff? Stocks Soar


"Overall, a strong reading on the housing market," said Ian Lyngen, a senior rates strategist at CRT.

The FTSE 100 in London closed up by 2.36%, while the DAX in Germany finished higher by 2.49%. Eurozone finance ministers are scheduled to hold a meeting in Brussels on Tuesday about extending more financial aid to Greece.

Japan's Nikkei average finished higher by 1.43% Monday amid rising anticipation of an opposition party victory in December, which is expected to result in the push for monetary easing. Hong Kong's Hang Seng index settled up 0.49%.

Gold for December delivery rose $19.70 to settle at $1,734.40 an ounce at the Comex division of the New York Mercantile Exchange, while January crude oil contracts finished up $2.36 at $89.28.

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The benchmark 10-year Treasury fell 11/32, boosting the yield to 1.615%. The dollar was down 0.43%, according to the U.S. dollar index.

In corporate news, shares of Lowe's closed up 6.2% after the home improvement products retailer posted third-quarter results that exceeded forecasts as revenue at stores opened at least a year rose 1.8%.

Cisco Systems (CSCO) , the networking giant, announced Sunday it was buying privately held cloud computing company Meraki for $1.2 billion. Cisco's stock rose 1.7%.

Global orthopedic medical device company Wright Medical Group (WMGI) struck a deal to buy BioMimetic Therapeutics ( BMTI ) for roughly about $190 million in cash and stock to boost growth opportunities in Wright's extremities business. Wright shares slid 1.7%, while BioMimetic shares soared 77.2%.

Republic Services (RSG) shares increased 1.2% as Cascade Investments raised its stake in the provider of services in the domestic non-hazardous solid waste industry to 23%.

BP's(BP) American Depositary Receipts rose 3% amid reports that the oil giant plans to spend as much as $5.9 billion repurchasing its stock.

Shares of Tyson Foods jumped 10.9% after the company posted better-than-estimated fourth-quarter earnings as strength returned to its chicken business.

News Corp (NWSA) is expected to announce this week that it will acquire a 49% stake in the YES Network from the New York Yankees and its partners, according to Reuters, which cited a person with knowledge of the talks. The deal would value the sports channel at $3 billion, Reuters said. Shares advanced 2.9%.

-- Written by Andrea Tse and Joe Deaux in New York.

>To contact the writer of this article, click here: Andrea Tse .