Next stop 30,000 and 3,500?
That’s what it looks like after the Dow Jones Industrial Average and the S&P 500 hit new record highs on Wednesday.
At the time of this writing, the Dow surges 234 points to 29,510 and the S&P 500 tacked on 18 points to 3,375. The Nasdaq may also soon be hitting 10,00 as the index rose 70 points to 9,709.
Despite Senator Bernie Sanders’ (I-VT) strong showing and the Wuhan coronavirus still steady, financial markets are bullish.
The main reason for the push in equities is that the World Health Organization (WHO) says new coronavirus cases have stabilized, though the CDC noted that the U.S. should prepare for the outbreak “to take a foothold.”
On the political front, it might be too early for investors to panic over a Sanders administration.
With the cut to interest rates beginning to seep into equities – a rate cut usually takes between four and six months to have an effect on markets – and more money-printing, it is likely that the New York Stock Exchange will continue to enjoy all-time highs.
No wonder why President Donald Trump has been more confident than usual on Twitter over the last week.
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