Dow Sets Record-High Close; Fed Signals Gradual Rate Hikes
Delta Air Lines Inc, United Continental Holdings Inc, Alaska Air Group Inc, Spirit Airlines Inc
and JetBlue Airways Corp stocks also gained at least 1 percent each.
NEW YORK — The Dow rose to a record high close while U. S. stocks kept their upward momentum Wednesday following
Federal Reserve Chair Janet Yellen’s congressional testimony to gradually raise interest rates.
Stocks held their gains after the Fed’s latest Beige Book report showed
that the U. S. economy grew at a "slight to moderate" pace over the last several weeks across all regions.
The rate-sensitive S&P 500 real estate index was among the strongest in the benchmark index,
posting a 1.3 percent gain, its biggest one-day percentage gain in about four months.
1 U. S. airline, American Airlines Group Inc, reported quarterly results that beat expectations and its shares rose 4.2 percent.
The dovish sentiment from the Fed at the same time put the S&P 500 financials, which tend
to benefit from higher rates, last among sectors, ending with just a gain of 0.1 percent.
She said exactly what the market expected and that’s why the market was happy with it," said Chris Zaccarelli,
chief investment officer at Cornerstone Financial Partners, based near Charlotte, North Carolina.
The Dow Jones Industrial Average rose 123.07 points, or 0.57 percent, to close at 21,532.14, a record high.
