Nasdaq ends over 7,000 for first time, S&P 500 also hits new record

Nasdaq ends over 7,000 for first time, S&P 500 also hits new record

NYSE Jan2
Stock traders work on the floor of the New York Stock Exchange. (AP Photo/Mark Lennihan)

NEW YORK: Wall Street opened 2018 on a winning note on Tuesday (Jan 2), bidding Nasdaq to its first-ever close above 7,000 points following a rally in technology shares.

The tech-rich Nasdaq Composite Index had jumped 103.51 points (1.50 per cent) to end the first session of the year at 7,006.90.

The S&P 500 also notched a fresh record, gaining 22.18 points (0.83 per cent )to close at 2,695.79, while the Dow Jones Industrial Average rose 104.79 points (0.42 per cent) to 24,824.01, about 13 points below its all-time record.

The year's buoyant start suggested the turning of the calendar has not altered the bullish sentiment that propelled the market to dozens of records in 2017 amid improving earnings and anticipation of a US tax cut plan that President Donald Trump signed into law in December.

"As long as the economic data suggests improvement, the companies will see more funds from investors," said Quincy Krosby, chief market strategist at Prudential Annuities.

Key US data releases this week include auto sales and the employment report for December.

The market was led by technology companies, some of which underperformed in the final weeks of 2017 as money managers steered funds to other sectors.

Apple, Amazon and Google-parent Alphabet all rose close to two per cent. And the gains were even bigger for Netflix, which surged 4.8 per cent, as well as several biotechnology companies, including Biogen, which rose 4.9 per cent.

Petroleum-linked shares also had a good day, with some energy watchers pointing to rising unrest in Iran as a potential threat to oil supply. Dow members ExxonMobil and Chevron each gained more than 1.5 per cent on a day when oil prices retreated.

Media shares were another strong group, with Disney soaring 3.7 per cent, Comcast 3.0 per cent and Viacom 1.2 per cent.

Source: AFP/de

Bookmark