Stocks around the world continued to push higher Monday, and U.S. indexes again hit records. Bond yields climbed.
The Standard & Poor’s 500 index rose 12.15 points, or 0.5%, to close at a record 2,328.25 and topped $20 trillion in market value for the first time ever. The Dow Jones industrial average rose 142.79 points, or 0.7%, to an all-time closing high of 20,412.16. The Nasdaq composite gained 29.83 points, or 0.5%, to a record 5,763.96.
Treasury yields also rose as the yield on the 10-year Treasury note rose to 2.43% from 2.41% late Friday. Two-year and 30-year Treasury yields also notched higher.
Roughly five stocks rose for every three that fell on the New York Stock Exchange. Financial stocks helped lead the way, and those in the S&P 500 rose 1.3%. That’s the largest gain among the 11 sectors that make up the index. Raw-material producers and industrial companies were also strong.
Stocks resumed their upward climb last week after stalling for a couple weeks. Strong earnings reports have helped drive the gains. The majority of companies in the S&P 500 that have reported fourth-quarter earnings so far, 69%, have beaten Wall Street’s expectations, according to S&P Global Market Intelligence. It’s mostly come through companies keeping control of costs better than analysts were forecasting.
Also underpinning the market’s gains in recent days have been encouraging reports on the strength of the economy and hopes that Washington will push through business-friendly policies.
Without any major economic reports or other big news on Monday, stocks are continuing to follow the path of least resistance, analysts say. The S&P 500 posted its fifth straight day of gains, and it’s already up 8.9% since Donald Trump won the White House in November.
Apple rose 0.9% to close at a record high of $133.29. The stock’s performance carries extra weight for many 401(k) accounts because Apple is the biggest publicly traded company in the world. It accounts for about 3.5% of S&P 500 index fund investments.
Telecom stocks had some of the market’s sharpest losses, with those in the S&P 500 down 1.3%. That was the largest loss among the 11 sectors in the index.
Verizon introduced an unlimited-data plan to help it better compete with rivals. The worry is that more price wars may be coming for the industry. Verizon fell 0.9%. AT&T fell 1.8%, and Sprint lost 1.2%.