Wall Street Sets Records as Stocks Finish Winning Month and Quarter
In a remarkable display of strength, Wall Street set more records on Thursday as U.S. stocks coasted to the close of their latest winning month and quarter. The S&P 500 added 5.86 points, reaching an all-time high of 5,254.35, with a gain of 10.2% for the year’s first three months. The Dow Jones Industrial Average also ticked up by 47.29 points to 39,807.37, setting a new record. The Nasdaq composite dipped slightly but remains close to its all-time high.
The stock market has been on an unstoppable run since late October, with the S&P 500 capping its fifth straight winning month. The U.S. economy has remained solid despite high interest rates, and the Federal Reserve has indicated potential rate cuts later this year.
During the quarter, most stocks saw gains, with companies in the artificial-intelligence technology sector leading the way. Nvidia surged 82.5%, while Super Micro Computer, a recent addition to the S&P 500, saw its stock soar 255.3%.
However, some companies faced challenges during the quarter. Tesla fell 29.3% and Boeing sank 26% due to safety and manufacturing quality concerns. In the bond market, Treasury yields inched higher following mixed reports on the economy.
The hope on Wall Street is that the Federal Reserve will begin cutting interest rates in June to ease economic pressure. Critics warn that stock prices have outpaced corporate profits, posing a potential threat to the market’s growth.
Despite challenges, investors remain optimistic, with signs of a housing market recovery and expectations of lower interest rates later this year. Analysts are closely monitoring market trends and corporate performance to gauge future growth potential.
In international markets, Tokyo’s Nikkei 225 slumped amid speculation about Japanese officials’ actions to support the yen. Movements in other markets were more modest.
Overall, Wall Street’s record-setting performance reflects a mix of optimism and caution as investors navigate a rapidly changing economic landscape.
