Sector performance data from financial news outlets

Dow Jones Crosses 40,000 for First Time, Closes Above Milestone Amid Strong Earnings

May 17, 2024, 05:45 AM

The Dow Jones Industrial Average crossed the 40,000 mark for the first time in its history on Thursday, driven by strong corporate earnings, easing inflation, and investor hopes for interest rate cuts by the Federal Reserve. This milestone comes as the index has risen 6% year-to-date, buoyed by companies like Walmart reporting strong quarterly profits. Despite briefly touching 40,000, the Dow closed slightly below this level at 39,909.76 on Thursday but managed to close above 40,000 points on Friday, marking its 19th record close of 2024. The S&P 500 and Nasdaq also experienced gains, with the S&P 500 booking its fourth straight weekly gain. The Dow's climb to this historic level took 42 months to set the 10,000-point milestone, the fastest among previous stretches. The index's performance is seen as a significant boost to the U.S. economy and 401(k) plans.