Dow Jones Breaches 22,000, Retreats
Apple Inc hits all-time high on strong results, iPhone sales
New York: The Dow breached the 22,000markbrieflyinearlytradingon Wednesday, powered by Apple’s stellar results, before stocks retreated sharply across sectors as investors locked in gains. Apple jumped as much as 6.46% to a record high, after the world’s largest publicly listed company reported strong results and iPhone sales, and signaled its upcoming 10th-anniversary phone is on schedule. Microsoft and Facebook were among the top drags on both the S&P and the Nasdaq. However, the S&P 500 information technology index is up about 22% year to date, leading other sectors, as investors look for growth in an other-wise low-growth environment.
“Typically at those big round numbers the market seems to hesitate ... I’m looking at this as a situation where the underlying evidence as to why the stock market has responded well is the fertile climate for corporateprofitswhichislikelytoremain,” said Mark Luschini, chief investme n t strategist at Janney Montgomery Scott. The Dow has risen 11% in 2017, even as Wall Street is losing confidence that President Donald Trump and a Re publican-controlled Congress would be able to cut taxes and increase infrastructure spending this year.
The Dow hit the 20,000 mark in late January and crossed the 21,000 mark in just over a month on March 1.
Two-thirds of S&P 500 companies have reported their second-quarter earningssofarand72%of themhave beaten Wall Street’s expectations. In a typicalquarter,64%of thecompanies beat expectations. Data showed US private employers added 178,000 jobs in July, after a dding 1 9 1 , 0 0 0 j o bs i n June. Economists polled by Reuters expected an addition of 185,000 jobs. The data comes ahead of the more comprehensive non-farm payrolls data on Friday.