Trump Rally: Dow Closes Above 19,000 To Set New Record

Written by Lauren Gensler at Forbes
Click HERE to Read the Article by the Publisher.


The Dow Jones Industrial Average climbed to new highs on Tuesday as the stock market continues to gain steam following the election of Donald Trump.

The blue-chip index added more than 65 points to close at 19,023 points, ending the day beyond the 19,000 level for the first time in history. Meanwhile the S&P 500 ticked up 0.2% and the Nasdaq added 0.3%.

Among the biggest gainers on Tuesday were Barnes & Noble and Dollar General, which climbed 11% and 8%, respectively, after reporting better-than-expected quarterly earnings. Dr. Pepper’s parent company was also higher after it said it would acquire flavored water maker Bai Brands for $1.7 billion.

The rally came one day after the major indexes all closed at record highs simultaneously, which hadn’t happened since 1999.

The stock market has enjoyed broad-based gains since Trump’s victory on November 9, with all three major indexes climbing to new heights, driven largely by anticipation of market-friendly policies. The Dow has climbed 2.4%, while the S&P 500 has added 1.9% and the Nasdaq has gained 2.5%.

There’s been a particularly sharp run-up in the stock prices of banks, as investors eye relaxed regulations under Trump, with financial behemoths like Goldman Sachs seeing their stocks surge 10% since Election Day.

Industrial companies like Caterpillar have also gotten a welcome boost as investors bet that Trump will make good on his promise to spend heavily on the nation’s aging infrastructure. Defense spending is also expected to rise and has boosted the share prices of companies like Lockheed Martin and General Dynamics.


Written by Lauren Gensler at Forbes
Click HERE to Read the Article by the Publisher.