A federal court on Monday dismissed the Federal Trade Commission’s antitrust complaint against Facebook, as well as a parallel case brought by 48 state attorneys general, dealing a major setback for the agency’s complaint that could have resulted in Facebook divesting Instagram and WhatsApp.

Shares of Facebook rose more than 4% on Monday following the rulings, sending the social media company’s market capitalization above $1 trillion for the first time.

A federal court dismissed the Federal Trade Commission's antitrust lawsuit against Facebook, handing the social media giant a victory as it battles claims of unfair monopolistic behavior.

The decision Monday marks a setback for the trade commission and could lead to more aggressive calls for U.S. antitrust law to be updated by Congress, just as related bipartisan bills have been introduced by the House Judiciary Committee.

In a stunning setback to regulators’ efforts to break up Facebook, a federal judge on Monday threw out antitrust lawsuits brought against the company by the Federal Trade Commission and more than 40 states.