Stocks rose Monday as investors traded ahead of a busy week for corporate earnings and weighed the Federal Reserve's next rate decision later this month. The Dow Jones Industrial Average climbed over 250 points, while the S&P 500 Index and Nasdaq Composite rose 1.2% and 2%, respectively.

Here's how the market settled on Monday:

S&P 500 Index (SPY  ): +1.19% or +47.20 points to 4,019.81

Dow Jones Industrial Average (DIA  ): +0.76% or +254.07 points to 33,629.56

Nasdaq Composite Index (QQQ  ): +2.01% or +223.98 points to 11,364.41

In the spotlight on Monday, Salesforce (CRM  ) shares rose 3% on news that hedge fund Elliott Investment Management had taken a multi-billion dollar investment in the software company.

"Salesforce is one of the preeminent software companies in the world, and having followed the company for nearly two decades, we have developed a deep respect for Marc Benioff and what he has built," Elliott managing partner Jesse Cohn said in a statement. "We look forward to working constructively with Salesforce to realize the value of befitting a company of its stature."

Spotify Technologies (SPOT  ) rose 2% after the music streaming platform confirmed it will cut 6% of its workforce, adding to a growing list of technology companies reducing their workforce as part of cost-cutting measures.

"Like many other leaders, I hoped to sustain the strong tailwinds from the pandemic and believed that our broad global business and lower risk to the impact of a slowdown in ads would insulate us," said CEO Daniel Ek in a note to employees posted publicly on the company's website.

Elsewhere, PayPal (PYPL  ) shares were under pressure on Monday after The Wall Street Journal reported Bank of America (BAC  ), JPMorgan (JPM  ), Wells Fargo (WFC  ) and other major banks plan to launch a digital wallet to compete with PayPal and Apple Pay (AAPL  ). The report stated Visa (V  ) and Mastercard (MA  ) are also on board.

Monday's rally follows a winning week for the S&P 500 and Nasdaq. The Dow is also bouncing off of its losing week, with the major average falling just under 2%.

Looking ahead, investors are preparing for earnings reports from technology giants like Microsoft (MSFT  ) and Tesla (TSLA  ), as well as more economic data, including a reading on fourth-quarter U.S. gross domestic product (GDP) later this week.