The Dow Closed Above 30,000 For the First Time Ever
The Dow Jones Industrial Average surged on Tuesday, breaking records and closing at an all-time high of 30,046.24, according to CNBC.
Positive vaccine news, hopes for a strong economic recovery in 2021, and President Trump approving the start of the presidential transition have contributed to the index's rally. Including Tuesday's gains, the Dow is now up more than 13 percent this month, its largest monthly gain since 1987. The S&P 500 and Nasdaq composite are up 11.2 percent and 10.3 percent, respectively this month.
The Dow's outperformance is largely due to cyclical and value stocks being bought up after not recovering in the earlier rally.
“I think you’re seeing a bit of a catch-up trade,” said George Catrambone, head of Americas trading at DWS. “You had investors riding five stocks for a very long period of time. Now they’re giving way to 495 others.”