US STOCKS-Wall Street rises on Mexico relief, Dow up a 6th day

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* Trump scraps tariffs as Mexico vows to tighten borders
* U.S. carmakers, Constellation Brands rise
* United Tech, Raytheon agree to merge; Salesforce to buy
Tableau
* Indexes up: Dow 0.3%, S&P 0.5%, Nasdaq 1.1%

(Updates to close)
By Caroline Valetkevitch
NEW YORK, June 10 (Reuters) - U.S. stocks extended their
recent climb on Monday, with the Dow reaching its longest daily
winning streak in 13 months after the United States dropped
plans to impose tariffs on Mexican goods and a couple of
multibillion-dollar deals boosted the market.
Mexico on Friday agreed to step up efforts to stem the flow
of Central American migrants after Washington threatened to
impose a 5% import tariff on all Mexican goods starting on
Monday. Among major deals, United Technologies Corp UTX.N agreed
to combine its aerospace business with defense contractor
Raytheon Co RTN.N to create a new company worth about $121
billion. Strategists said the Mexico trade news cheered investors,
leaving the S&P 500 about 2% from its early May record high. But
they noted indexes ended the session well off the day's highs
and feared investors may be trading more on hope than on
reality.
"All it is, is a relief rally that we don't have tariffs
with Mexico," said Paul Nolte, portfolio manager at Kingsview
Asset Management in Chicago.
But the U.S.-China trade war is still brewing, and investors
may have become too optimistic that the Federal Reserve will
come to the rescue with an interest rate cut, he added.
"Heaven forbid the Fed sits on its hands next week and does
nothing," Nolte said.
Stocks have been rallying in part on optimism that the Fed
would turn more accommodative to blunt the impact of escalating
trade tensions.
"There is a risk that the market will be disappointed if the
Fed does not signal some type of rate cut," said Michael
O'Rourke, chief market strategist at JonesTrading in Greenwich,
Connecticut.
The Dow Jones Industrial Average .DJI rose 78.74 points,
or 0.3%, to 26,062.68, the S&P 500 .SPX gained 13.39 points,
or 0.47%, to 2,886.73 and the Nasdaq Composite .IXIC added
81.07 points, or 1.05%, to 7,823.17.
The Dow ended up for a sixth straight session, its longest
winning streak since May 2018.
Shares of United Technologies, however, dropped 3.1% after
President Donald Trump said he was a "little concerned" about
the merger as it could reduce competition in the sector.
Raytheon rose 0.7%.
Salesforce.com Inc CRM.N said it would buy data firm
Tableau Software DATA.N for $15.3 billion. Salesforce.com
shares fell 5.3%, while those of Tableau surged 33.7%.
U.S. automakers, which have long built vehicles in Mexico,
traded higher, with General Motors Co GM.N gaining 1.5%.
Corona beer maker Constellation Brands STZ.N , which has
significant Mexico exposure, rose 1.9%.
Advancing issues outnumbered declining ones on the NYSE by a
1.61-to-1 ratio; on Nasdaq, a 1.85-to-1 ratio favored advancers.
The S&P 500 posted 63 new 52-week highs and 2 new lows; the
Nasdaq Composite recorded 96 new highs and 57 new lows.
Volume on U.S. exchanges was 6.45 billion shares, compared
with the 6.99 billion average for the full session over the last
20 trading days.