The Dow Jones Industrial Average rallied above the 23,000-mark on Wednesday, propelled by IBM’s 9 percent surge after the computing giant hinted a return to revenue growth.
Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., October 13, 2017. REUTERS/Brendan McDermid
IBM shares (IBM.N) were on course to record their biggest percentage gain in more than eight years and accounted for nearly 95 points of the 148 point-gain for the blue-chip index.
The Dow had briefly surpassed the all-time peak on Tuesday but closed 3 points short of it. The latest 1,000-point increase was covered in roughly half the time it took the index to move from 21,000 to 22,000.
Solid earnings, stable economic growth and hopes that President Donald Trump may be able to make progress on tax cuts have helped the market rally this year.
“We continue to see solid numbers above expectations, stability in terms of economic growth and global growth,” said Omar Aguilar, chief investment officer for equities at Charles Schwab Investment Management.
“Announcements by the ECB next week and decision by the Fed in December will probably have a higher impact on whether or not we continue this rally.”