Positive indicators spark Dow surge
Good news – positive economic data, strong earnings and a sharp drop in oil prices – sent stocks sharply higher on Wall Street today and lifted the Standard & Poor’s 500 index to a four-year high.
The Dow Jones industrial average was up 71.50, or 0.68%, at 10,628.89, its highest level since March 16.
The S&P rose 3.21, or 0.26%, to 1,226.50, its best showing since closing at 1,234.45 on July 3, 2001.
Other stock indicators also advanced. The Nasdaq composite index climbed up 8.71, or 0.41%, at 2,152.82 – its best close since December 31 –
The Nasdaq composite index also moved into positive territory for 2005.
Wall Street was encouraged by the latest reading of the Labour Department’s Consumer Price Index, which measures how much consumers pay at the retail level. The CPI was unexpectedly flat for June, while “core” CPI – with food and fuel costs removed – edged just 0.1% higher.
Record earnings from Apple Computer also cheered investors, while a sharp 1.7% jump in retail sales for June assuaged fears high oil prices would put a brake on consumer spending.
