While you were sleeping: UPDATED Nasdaq tops 6000 as tech stocks fuel rally

The lastest Wall Street rally is steaming ahead with the Nasdaq passing the 6000 mark for the first time and the Dow surging 232 points.

Stocks were bolstered by better-than-expected corporate results including from Caterpillar and McDonald's.

Art the close of trading in New York, the Dow Jones Industrial Average rose 232.23 points, or 1.01%, to 20,996.12.

The Nasdaq Composite Index advanced 0.7% to 6025.49, reflecting the role of tech companies in the rally. It hit the milestone 17 years after it reached 5000 during the dot-com era.

Some 40% of the index is made up of Apple, Facebook, Amazon, Microsoft and Alphabet (parent of Google).

The Standard & Poor's 500 Index increased 0.6% to 2388.61.

Technology shares in the S&P 500 have risen roughly 14% so far this year, compared with 3% for financials and 6.7% for the broader S&P 500.

The Nasdaq Composite is up around 12% year to date.

Caterpillar lifts outlook
Rallies in shares of Caterpillar and McDonald's, up 7.9% and 5.6% respectively, led the Dow higher.

Caterpillar upgraded its 2017 outlook, predicting full-year sales of between $US38 billion and $US41 billion, compared with a previous of $US36-39 billion.

"Clearly, encouraging signs are emerging that CAT's end markets are finally turning around following a very challenging four year period," Matt Arnold, an analyst at Edward Jones & Co, said in a note to investors, Bloomberg reported.

"We view today's news as a solid positive for the stock."

McDonald's posted quarterly results that beat expectations in an industry that is struggling, fuelling optimism about the fast-food giant's outlook.

Global comparable sales increased 4.0% in the quarter ended March 31, while US comparable sales increased 1.7%, bolstered by the expansion of all-day breakfast offerings, along with the Big Mac and beverage value promotions.

"Our efforts to build a better McDonald's are yielding meaningful results with continued positive momentum and a strong start to 2017 that includes dDonald's, higher global guest counts and enhanced profitability," McDonald's Chief Executive Officer Steve Easterbrook said in a statement.

Shares of McDonald's touched a record high $US141.99 and closed at $US141.70.

Tyson launches takeover
In the latest takeover deals, Tyson Foods, the largest US meat processor, agreed to buy AdvancePierre Foods Holdings, which makes packaged sandwiches, for $US3.2 billion to expand its portfolio of prepared foods.

Tyson will pay $US40.25 per share in cash, the company said. Shares of Tyson traded 0.9% weaker as of 1.21pm in New York, while those of AdvancePierre traded 10.1 percent higher at US$40.36.

"The addition of AdvancePierre aligns with our strategic intent to sustainably feed the world with the fastest growing portfolio of protein packed brands," Tyson CEO Tom Hayes said in a statement.

"We believe that AdvancePierre and Tyson are a natural strategic fit and together will accelerate growth for customers by delivering on-trend, high quality products consumers love."

In Europe, the Stoxx 600 Index finished the session with a 0.2% advance from the previous close. Germany's DAX Index rose 0.1%, while the UK's FTSE 100 Index added 0.2% as did France's CAC40 Index.

"We expect fund flows to be the dominant driver of European stock/sector performance hereon," Barclays strategists including Dennis Jose wrote in a note, Bloomberg reported.

"A reduction in political risk, coupled with an end to the seven-year stagnation in earnings, should lead to an acceleration in foreign investor buying of European equities."

(BusinessDesk)