November 17, 2017

Stock Market Making A Comeback

stock market surge

For the first time in two and a half years, the Dow closed above 12,000

For the first time since June 2008, the Dow Jones Industrial Average closed about 12000 Tuesday. Even with all the upheaval in the Middle East, and the debt troubles in Europe, it still closed high.

The Standard & Poor’s 500 index also finished high. By the end of the day, it closed at 1308. That’s the first time it’s been above 1300 since August 2008.

European stocks were also recovering Tuesday. The indexes in Germany and France both closed at their highest levels since 2008.

The situation turned less tense in Egypt on Tuesday, with demonstrators becoming more peaceful. The announcement came from President Hosni Mubarak saying he would not run for re-election, but that he would finish out his term.

Art Cashin, who is the director of floor operations at UBS said, “Everybody seems to believe it’s going to be a quiet transition in Egypt, so you’re back from the brink.”

After Tuesday, the Dow is now up 4% for the year, and it has gone up 20% since the end of August. With signs of a better economy, and it being stronger than forecasted, many are optimistic.

Manufacturing activity has been up which has fueled much optimism in the market. We are seeing the highest rate of manufacturing growth in nearly 7 years.