By Mark Decambre
The Dow Jones Industrial Average on Wednesday closed above the psychologically significant threshold of 20,000. Finishing at the level represents a milestone for the blue-chip gauge and highlights a relatively speedy path higher for the stock market in the wake of Donald Trump’s election win in November.
The Dow DJIA, +0.78% is up about 9.5% since Trump’s Nov. 8 election victory, the S&P 500 index SPX, +0.80% has gained nearly 7%, while the Nasdaq Composite Index COMP, +0.99% has advanced roughly 9% during that period.
The equity rally is supported by expectations that Trump will unleash a raft of pro-business policies, including a rollback of regulations, tax cuts, and fiscal spending. The gains for the Dow on Wednesday came after Trump signed executive orders on Tuesday to move forward with the construction of controversial infrastructure projects, Keystone XL and the Dakota Access pipelines, which offered a boost to stocks as it supported expectations that a ramp-up in infrastructure spending—a boon for economic growth—would be one of the centerpieces of his administration.
The Dow’s milestone on Wednesday, marks the second-fastest 1,000-point move in history (42 days), since the 59-session span between late March and early July 2007 (see table below):
|Trading sessions between 1000-point milestones||Dow’s 1000-point milestone||Date of first close above 1000-milestone|
On Wednesday, Boeing Co.’s BA, +4.24% more-then 4% rise contributed about 40 points to the Dow’s record run in early trade.
Retrieved from: http://www.marketwatch.com/story/dow-cracks-20000-milestone-intraday-for-the-first-time-2017-01-25