New York: The Dow Jones Industrial Average plowed past 26,000 as optimism over corporate earnings turbocharged the equity bull market.
Gains in companies from Boeing Co. to Caterpillar Inc. lifted the index for American blue chips past the round-number milestone just 12 calendar days since it topped 25,000. The run between 1,000-point milestones was the fastest in the measure’s history.
Optimism over corporate earnings fueled the bullish sentiment as the reporting season started with JPMorgan Chase & Co. topping expectations and forecasting further gains thanks to cuts to the corporate tax rate. Per-share earnings are expected to rise 12.5% in the fourth quarter, while sales are expected to advance 7.2%, data compiled by Bloomberg show.
The Dow gained 0.8% to 26,012.20 at the open in New York. The S&P 500 rose 0.5% to 2,801.35 in its first trip past that milestone. The Nasdaq Composite advanced 0.7% to a record. Boeing shares have surged more than 13% since the Dow took out 25,000 on 4 January. Caterpillar is up 7% in that time. Bloomberg