Stock market logs 5th straight week of gains as Dow hits record high
The stock market closed its fifth straight week of gains with another record high on Friday.
The Dow Jones industrial average and Standard & Poor’s 500 index carved out all-time highs, extending the market’s gains for the week. It was the third record close for the Dow in the week and the fourth for the S&P 500.
The latest records extended a comeback in the S&P 500, which has increased 11 percent since plunging in mid-October. A strong third-quarter earnings season, on top of a recent string of positive U.S. economic data on housing, jobs and manufacturing, have helped put investors in a buying mood.
Investors on Friday cheered news of an interest rate cut in China and the possibility that Europe’s central bank will step up stimulus efforts in the region.
“What it suggests is that these central banks are prepared to do even more to stimulate growth, to stimulate demand, and that always equates to better stock markets,” said Quincy Krosby, a market strategist at Prudential Financial.
All 10 sectors in the S&P 500 index rose, with materials stocks climbing the most. The sector is up 9 percent this year.
Energy stocks were among the big gainers, getting a boost from a rebound in oil prices. Some traders anticipated that OPEC will decide to cut production at a conference next week.
The S&P 500 index rose 10.75 points, or 0.5 percent, to 2,063.50. The Dow gained 91.06 points, or 0.5 percent, to 17,810.06. The Nasdaq composite added 11.10 points, or 0.2 percent, to 4,712.97.