Saturday, 12 November 2016
NEW YORK: The Dow Jones industrial average ended at a record closing high on Friday, capping off its best week since 2011 after Donald Trump’s unexpected victory in the U.S. presidential election.
Since his triumph on Tuesday, investors have been betting on Trump’s campaign promises to simplify regulation in the health and financial sectors and boost spending on infrastructure.
The S&P 500 financial index has gained 8% in the past three sessions and risen to levels not seen since 2008 during the financial crisis. The financial index has still not recovered to levels seen before the crisis.
Industrials have surged 5% since the election and healthcare is up 3%.
Tempering sentiment among stock investors, Federal Reserve Vice Chairman Stanley Fischer said on Friday economic growth prospects appear strong enough for a gradual hike in interest rates, but the U.S. central bank is monitoring an increase in long-term government borrowing costs.
The Dow Jones industrial average climbed 0.21% to end the week at 18,847.66 and the Nasdaq Composite added 0.54% to 5,237.11.
The S&P 500 declined 0.14% to 2,164.45, weighed down by weakness in energy stocks.
For the week, the Dow rose 5.4%, its biggest gain since 2011. The S&P 500’s 3.8% gain for the week was its strongest in two years.
The Nasdaq biotechnology index fell 0.64% on Friday but ended the week up 10 percent, its best week since 2000.
Nvidia jumped 30%, helping keep the Nasdaq in positive territory after the graphic chip maker reported its biggest quarterly revenue growth in more than six years.
Walt Disney rose 2.86% after its executives promised earnings growth for the next two years. Barclays also upgraded the media company’s stock to “equal weight” from “underweight”.
Advancing issues outnumbered declining ones on the NYSE by a 1.16-to-1 ratio; on Nasdaq, a 2.36-to-1 ratio favored advancers.
The S&P 500 posted 44 new 52-week highs and six new lows; the Nasdaq Composite recorded 350 new highs and 36 new lows.
About 9.6 billion shares changed hands on U.S. exchanges, far above the 7.5 billion daily average over the last 20 sessions.
Source by: Internet