The Dow resumed its record-setting drive Monday, climbing 33.60 points to 5407.59 on the day, more than recouping Friday's 31-point loss. Investors were encouraged by the Fed's quarter-point interest rate cut last week. The New York Stock Exchange composite index rose 2.17 to 342.26. Advancing issues led decliners by a slight margin on the Big Board, and volume was a moderate 377.74 million shares. The Nasdaq composite index climbed 11.23 to 1,083.34, and the Standard & Poor's 500-stock index also edged up 5.58 points to 641.43. The American Stock Exchange's market value index rose 1.73 to close the day at 557.27. Gold closed up $.20 at $414.85 in London.