[ad_1]
The sixth time was a charm for the Dow Jones Industrial Average, closing the largely symbolic 35,000 mark on Friday for the first time, as the stock market capped a bearish rebound after a strong sell-off that opened the week.
The Dow DJIA,
finished with a gain of 238.20 points, or 0.7%, to 35,061.50, having previously traded above the threshold on five occasions but being unable to finish above. The blue chip gauge had traded as high as 35,091.56 in intraday action on May 10, a level it broke with a late surge in Friday’s session, reaching an all-time high of 35,095.33 .
So what does all of this mean? Not much, analysts said, although they did note movements beyond the big round numbers tend to attract attention.
“Dow’s milestones are largely symbolic, but they generate headlines and can boost retail investor sentiment,” said Sean Bandazian, investment analyst for Cornerstone Wealth, in comments sent via email.
“35,000 is another one of those symbolic milestones for the market,” he said, “especially considering the index fell below 20,000 just over a year ago. “.
The end comes 69 trading days after the Dow first closed above 34,000, making it the slowest rise since the 218-day gap between the stroke of a close above 29,000 to an end above 30,000 that ended on November 24, 2020, according to Dow Jones Market Data. Of course, these milestones become less impressive as the market grows. A change from 34,000 to 35,000 corresponds to an increase of only 2.9%.
If you like your milestones in larger increments, it took the Dow 165 trading days to go from a close above 30,000 to a close above 35,000, its fastest milestone of 5,000 points, according to Dow Jones Market Data.
All three major indices finished record highs on Friday. The rally ended a week that started on Monday with a steep drop that saw the Dow Jones fall 2.1% to its biggest single-day decline since October. The rebound has been attributed to allaying concerns about the economic impact of the spread of the delta coronavirus variant and to optimistic corporate earnings.
And it was an impressive rebound. Dow Jones Market Data noted that the last time the Dow Jones fell at least 2% on a Monday and closed at a record high on Friday of that week was in August 1991. It is also the last time. than the S&P 500 SPX,
fell 1.5% on a Monday and finished at a record high the following Friday. And the Nasdaq Composite COMP,
had never fallen 1% on a Monday and closed at a record high on a Friday of the same week.
[ad_2]
Source link