The Dow Jones Industrial Average jumped 200 points Thursday afternoon; breaking an all-time high and surpassing 27,000 points for the first time in American history.
“The Dow Jones Industrial Average rallied to a record high on Thursday, led by UnitedHealth shares, after testimony by Federal Reserve Chair Jerome Powell that signaled easier monetary policy could be implemented later this month,” reports CNBC. “The 30-stock average broke above 27,000 for the first time in its history, rising 200 points or 0.8%.”
“Crosscurrents have reemerged,” said Federal Reserve Chair Jerome Powell. “Many FOMC participants saw that the case for a somewhat more accommodative monetary policy had strengthened. Since then, based on incoming data and other developments, it appears that uncertainties around trade tensions and concerns about the strength of the global economy continue to weigh on the U.S. economic outlook.”
The US Stock Market posted major gains last Monday; with the S&P 500 setting a new record in the first hours of July trading.
“U.S. stocks jumped on Monday after the U.S. and China agreed to hold off on slapping additional tariffs on their products in an effort to resume trade talks,” reports CNBC. “The S&P 500 rose 0.8% and reach an all-time high of 2,977.86, breaking above its previous record of 2,964. The Dow Jones Industrial Average gained 152 points, or 0.6% as Nike and Apple outperformed. The Nasdaq Composite jumped 1.1%.”
“The markets appear to be content with the cooperative tone coming out of the meetings. To me, it felt like the contrarian play was to the upside post meetings,” said Dan Deming, managing director at KKM Financial. “There was a great deal of bearishness in sentiment headed into the meeting. Many market observers were discounting any change in the narrative, which made many believe the risk was to the downside.”
The Dow Jones Industrial Average and S&P 500 inched higher last week; posting the biggest June returns since 1938.
“Recent gains have put the Dow Jones Industrial Average DJIA, +0.14% in position to ring up its best June gain of 7% since 1938 when the blue-chip benchmark surged an eye-popping 24.3% on the month,” reports Market Watch.
Read the full report at CNBC.