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U.S. stocks notched their best day in a month on Friday, with the S&P 500 and Nasdaq closing at record highs after a second straight month of robust labor market data boosted optimism that economic growth is accelerating.

The Dow Jones industrial average .DJI rose 191.21 points, or 1.04 percent, to 18,543.26, the S&P 500 .SPX gained 18.57 points, or 0.86 percent, to 2,182.82 and the Nasdaq Composite .IXIC added 54.87 points, or 1.06 percent, to 5,221.12.

Asian shares rose on Monday and the dollar stood tall after a stronger-than-expected July jobs report lifted confidence in the strength of the U.S. economy - heightening expectations that the U.S. Federal Reserve could hike interest rates this year.

MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.2 percent in early trading, after gaining 0.7 percent last week. U.S. shares logged solid gains on Friday, with both the S&P 500 .SPX and the Nasdaq Composite .IXIC closing at record highs.

Japan's Nikkei stock index .N225, which skidded 1.9 percent last week in the face of a strengthening yen, was 1.6 percent higher in early trade.

Reference: Reuters