Dow hits 40,000 for first time
The Dow Jones Industrial Average crossed 40,000 on Thursday, the first new milestone in over three years as investors bank on an improving economy and corporate profits.
The Dow Jones Industrial Average crossed 40,000 for the first time ever and is on pace for its 19th record close as investors celebrate solid earnings and a slight easing of consumer inflation last month. It will mark the third 1,000 point milestone of 2024.
The Dow has gained about 6% this year and a strong quarter from the nation's largest retailer, Walmart, helped propel gains on Thursday. It closed above 30,000 on Nov. 24, 2020. Investors are also betting inflation may cool enough for the Federal Reserve to cut interest rates at least twice this year, according to the CME's FedWatch Tool.
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Goldman Sachs has added the most points since 30,000, while 3M Co. has subtracted the most, as tracked by Dow Jones Market Data Group.
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Other notable contributors include Microsoft, UnitedHealth and Caterpillar.
Still, the 30-member index is trailing the S&P 500 and tech-heavy Nasdaq, which are also trading at new records.
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Both indexes have risen about 11% this year as 77% of companies have exceeded profit estimates this season.
Google and Nvidia are trading at record highs. The chipmaker's highly anticipated earnings report is set for May 22.