Stocks Hit Record Highs Following Trade Deal with Mexico

President Trump said he would scrap the name NAFTA, which he claimed had bad "connotations."

Stocks jumped higher Monday following the announcement that the U.S. and Mexico have reached a new trade deal.

The S&P 500 and the Nasdaq Composite both hit record highs. The Nasdaq was up 0.91 percent, while the S&P 500 rose 0.77 percent. The Dow Jones Industrial Average rose slightly more than 1 percent.

News of the deal appeared to reassure investors that the Trump administration can make solid progress on trade deals.

Shares of traditional U.S. automakers were some of the best performers of the day. General Motors was up 4.8 percent. Ford rose 3.2 percent. Goodyear Tire & Rubber rose 3.27 percent.

Shares of Tesla, however, fell by more than 1 percent.



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