U.S. stocks extended their post-U.S. election rise on Tuesday with moderate gains that pushed the Dow above 19,000 and the three major indexes to record closing levels for a second straight day. Bobbi Rebell reports.
The Dow hit 19,000 for the first time ever on Tuesday. The S&P crossing 2200. Wall Street extending the rally that has continued since the November 8th election of President-elect Donald Trump. U.S. bond prices have fallen sharply - driving up yields - since the election Trump's promises of tax cuts, higher spending on infrastructure, and less regulation have been seen by investors as beneficial to certain industries, including banking and healthcare. CFRA's Sam Stovall: SOUNDBITE: SAM STOVALL, CHIEF INVESTMENT STRATEGIST, CFRA, (ENGLISH) SAYING: "I think the market is feeling optimistic that there will be an injection of stimulus spending for infrastructure, for aerospace defense, also, with interest rates likely to rise at the December FOMC meeting, it reinforces the adage that there are no viable alternatives to equities right now, and, so, it sounds like we are just gearing up for a nice end of year rally." Medtronic tumbled after the medical device maker reported quarterly revenue that missed expectations and cut its full-year adjusted earnings forecast. Existing home sales rose to a more than 9-1/2 year high. Prices are also heading higher, with the median house price up six percent from a year ago. In Europe, shares were higher as well, driven by a rally in basic resources stocks.