Dow Launches Itself Past 7,200

The Dow Jones industrial average completed its speedy recovery Monday and soared into the record books with a 143-point surge that lifted the indicator above 7,200 for the first time.

The resurgent technology sector roared too, catapulting the Nasdaq market to its second straight gain of more than 2.5 percent. The late rally also lifted the Standard & Poor’s 500 to its first new high since February.

The Dow, which traded fairly flat until the final hour, rose 143.29 to 7,214.49. It was the fourth biggest point gain ever and its first close above both 7,100 and 7,200.

“We’re in a panic melt-up. If you don’t own stocks - big or small - you’re scrambling to get in,” said Scott Bleier, chief investment strategist at Prime Charter. “Nothing happened at 2:50 p.m. It was, ‘You must be in it to win it.”

Some of the stocks that moved substantially or traded heavily Monday:

NYSE

Philip Morris, up 4-1/4 at 44-1/8.

RJR Nabisco, up 3-1/8 at 32-5/8.

A Florida jury found RJR not liable in the death of a lifelong smoker from lung cancer. Jurors decided that cigarettes made by RJR were not dangerous and defective and did not cause the death of a longtime smoker who testified on videotape before her death that cigarettes caused her disease. The verdict could boost the industry’s hand in negotiations toward a multibillion-dollar settlement with state governments.

Transitional Hospitals, up 4-1/4 at 14-1/4.

The provider of long-term hospital services has signed a definitive agreement to be acquired by Select Medical for $14.55 a share in cash, and later received a rival bid for $15 a share. Transitional didn’t identify the rival bidder.

NASDAQ

Fort Howard, up 6-1/4 at 42-3/4.

James River of Richmond, Va., agreed to acquire Fort Howard, a commercial supplier of paper goods, for $3.4 billion in stock and $2.4 billion in assumed debt. The combined company would be called Fort James. James River makes Quilted Northern bathroom tissue, Vanity Fair napkins, Brawny towels and Dixie cups.

AMEX

Riser Foods, up 3-1/2 at 41-1/8.

The Ohio supermarket concern has received a $42-a-share cash offer for all of its outstanding shares from another chain. The identity of the bidder was not disclosed. Riser said it is considering the offer.