The blue-chip Dow Jones industrial average edged higher on Monday, led by gains in computer maker Hewlett-Packard as investors grew increasingly confident about its prospects after an upbeat presentation to analysts last week.

The technology-dominated Nasdaq composite index finished up 8.38 points, or 0.22 per cent, at 3,821.76, after its 19 per cent rise last week. The Nasdaq had swung from negative to positive territory and back throughout the session.