Dow Jones Hits New High Amid Government Shutdown Optimism
Major stock indexes showed mixed results on Wednesday as the Dow Jones Industrial Average surged to an all-time high, driven by hopes that the 43-day U.S. government shutdown may end soon. The blue-chip Dow rose 0.8%, or about 365 points, reaching an intraday peak after closing at a record for the first time in two weeks yesterday.
The tech-heavy Nasdaq slipped 0.7% following an initial rise at the opening bell, while the S&P 500 dropped slightly by 0.1%.
Government Funding Legislation Progress
- The Senate approved a bill late Monday to fund the government through January 30, ending the shutdown.
- After the Veterans Day holiday, the House of Representatives is expected to vote on the legislation later today.
- If passed, the bill will be sent to President Donald Trump for his signature.
Market Movements and Rates
The bond market reopened following the Veterans Day closure, with the 10-year Treasury note yield dropping to 4.06% from Monday's 4.11% close.
Bitcoin traded around $101,500, down from a high above $105,000 earlier in the day.
- The dollar index, which measures the dollar against a basket of foreign currencies, remained nearly unchanged at 99.42.
- Gold futures rose 2% to $4,200 per ounce.
- The oil benchmark fell nearly 4%, settling at $58.70 per barrel.
Corporate Highlights: Advanced Micro Devices (AMD)
AMD’s stock surged 8.5%, leading gains in the S&P 500, after the chipmaker presented optimistic long-term growth targets during its first analyst day event, reversing the nearly 3% drop it experienced on Tuesday.
“The Senate approved legislation to fund the government until Jan. 30 and end the shutdown late Monday.”
Author’s summary: The Dow Jones hit a record high amid hopes for ending the U.S. government shutdown, while markets showed mixed reactions and AMD's optimistic outlook boosted its shares.