By Anora Mahmudova and Barbara Kollmeyer, MarketWatch

Financials, energy and materials stocks leading gains

The Dow Jones Industrial Average set an intraday record on Monday as U.S. stocks climbed, with investors shaking off the defeat of Italy's constitution-reform referendum on Sunday and cheering solid economic data releases.

Italian citizens voted against reforms proposed by Prime Minister Matteo Renzi, who resigned in the wake of the election results.

However, most European markets inched higher (http://www.marketwatch.com/story/italian-stocks-slump-after-voters-reject-renzi-in-referendum-2016-12-05) as investors digested the news, which had been widely expected.

See also: The other loser in Italy's vote -- its big banks (http://www.marketwatch.com/story/the-other-loser-in-italys-vote-its-big-banks-2016-12-05)

In the U.S., the main stock benchmarks climbed after a solid report on the services industry. The ISM nonmanufacturing index (http://www.marketwatch.com/story/us-businesses-growing-at-fastest-pace-in-a-year-ism-services-survey-finds-2016-12-05) climbed to 57.2 last month, pointing to continued growth in the industry.

The Dow industrials rose 82 points, or 0.4%, to 19,253. Visa Inc. (V), Goldman Sachs Group Inc. (GS) and J.P. Morgan Chase & Co(JPM) were among the top gainers on the Dow, up more than 1.5%.

The S&P 500 index climbed within five points of its record close, gaining 14 points, or 0.6%, to 2,205, with nine of the 11 main sectors trading higher. Financials, materials and industrials shares were leading gains, while utilities and real estate shares were the only laggards.

The Nasdaq Composite Index advanced 54 points, or 1%, to 5,309.

The major U.S. stock indexes rallied in November as investors bet that fiscal policies of President-elect Donald Trump's administration, such as tax cuts and infrastructure spending, will help boost the economy.

Meanwhile, investors are expecting the Federal Reserve, which meets next week, to raise interest rates for the fist time since last December, when it began normalizing interest rates.

"The combination of steady U.S. economic growth, which won't need too hawkish a stance from the FOMC to manage, along with the prospect of further QE from the ECB seems to be generating perfect conditions to extend the bull market rally," said Jamieson Blake, retail sales manager at ADS Securities London, in a note to clients.

On Thursday, the European Central Bank will hold its regular monetary policy meeting to decide on the scope of its quantitative easing and other measures, and analysts largely expect that will include some extension of its asset-buying program.

Shaking off Italy: The Stoxx Europe 600 rose 0.6%, fighting back from earlier losses after Italian voters rejected constitutional changes backed by their government. The broader Italian stock market slid 1%, as its bank stocks struggled.

Read:What to know now that Italy has voted 'no,' with Renzi set to step down (http://www.marketwatch.com/story/what-to-know-now-that-italy-has-voted-no-with-renzi-set-to-step-down-2016-12-04)

"Perhaps the backing of the central bank to contain any negative fallout is helping to keep investor spirits up, even though the result itself may have just presented an opportunity to another antiestablishment movement that favors a referendum on eurozone membership," said Craig Erlam, senior market analyst at Oanda, in emailed comments.

The bulk of the reaction fell on the euro , which hit a 21-month low against the dollar (http://www.marketwatch.com/story/euro-tumbles-to-21-month-low-against-dollar-after-italys-no-vote-2016-12-05) before rebounding.

Fed speakers: New York Fed President William Dudley, in a speech addressing the economic outlook and monetary policy in the Big Apple, said the Fed was not far from its policy goals, backing gradual rate hikes. He also warned the Congress not to squander fiscal policy, saying that monetary and fiscal policies must not work at "cross-purposes."

Chicago Fed President Charles Evans is slated to talk on the same topic in the Windy City at 9:25 a.m. Eastern, and St. Louis Fed President James Bullard is on tap to deliver a speech in Phoenix at 2:05 p.m.

Stocks to watch: Shares of FairPoint Communications Inc.(FRP) jumped 13% after Consolidated Communications Inc.(CNSL) said it would buy the rival group in a $1.5 billion stock and debt deal. (http://www.marketwatch.com/story/consolidated-communications-to-buy-fairpoint-in-a-15-billion-stock-and-debt-deal-2016-12-05)

(http://www.marketwatch.com/story/consolidated-communications-to-buy-fairpoint-in-a-15-billion-stock-and-debt-deal-2016-12-05)Hilton Worldwide Holdings Inc.(HLT) shares rose 2% after news that its board has approved the spinoff of its Park Hotels & Resorts and its Hilton Grand Vacations timeshare business (http://www.marketwatch.com/story/hilton-board-approves-spinoff-of-park-hotels-and-timeshare-businesses-2016-12-05).

Apple Inc.(AAPL) has written a letter to U.S. regulators offering feedback on proposed guidelines for self-driving cars (http://www.marketwatch.com/story/apple-drops-hints-about-its-work-on-a-self-driving-car-2016-12-03) and other machine-learning technology. It's the biggest hint thus far that the tech giant is working on autonomous vehicles. Share were down 1%.

Other markets:Asian stocks were unable to shake off losses (http://www.marketwatch.com/story/asian-shares-fall-led-by-banks-as-investors-rattled-by-italian-referendum-2016-12-05), with banks leading the way south on fears the Italy "no" vote could hurt the country's banking system and spread globally. The Nikkei 225 index dropped 0.8% and the Shanghai Composite Index fell 1.2%.

Gold prices were off about 0.8% (http://www.marketwatch.com/story/consolidated-communications-to-buy-fairpoint-in-a-15-billion-stock-and-debt-deal-2016-12-05). WTI crude prices reversed earlier losses to push above $52 a barrel.

(END) Dow Jones Newswires

December 05, 2016 10:56 ET (15:56 GMT)