In today’s article, we will be delving into an update on the status of the main 3 markets of trading – the Dow Jones Industrial Average, the Nasdaq Composite, and the S&P 500 and discussing yet another market high!
The Dow Jones Industrial Average posted its last record high in early May and hovers at roughly 1.4% away from that number – something that is attainable, but not actively occurring. The Dow Jones Industrial Average has wobbled recently and fallen slightly behind both the tech-heavy Nasdaq Composite and the S&P 500. That being said, overall it is still performing well.
The tech-heavy Nasdaq Composite rolled in on Tuesday with its 19th record close of just this year alone with 14528.33 points. Yet another market high! This is a positive sign for investors in this market –especially following a ruling regarding Facebook the could potentially shake up big tech according to the Wall Street Journal’s article that you can read here.
The S&P 500 closed Tuesday out with 4291.80 points – marking its 33rd record high of the year! Wow! 33 record highs! That just goes to show how important it is to not let your emotions rule your investments and to stick through uncertainty when data points towards recovery and growth.
So why are there SO MANY record highs and what does it mean for investors? The rise in record highs could be a result of an artificially bolstered in response to the pandemic, inflation, or a variety of other causes. Investors worry that these record highs could be a bad sign of looming inflation. All we can do is track inflation signs and hope that valuation matches with growth when it comes to investments and the economy as a whole.
Thank you for tuning into our article “Yet another market high” If you are interested in learning more about our trading strategies or would like to speak with one of our client care specialists for more information, give us a call at (800) 883-0524 or contact us via email or our contact form. Stay tuned for more updates!