Dow Hits New All-Time High as Stocks Hold on to Gains After Late Surge

Michael Teague |

Dow Hits new All-Time High as Stocks hold on to Gains after Intraday SurgeThe Dow Jones Industrial Average closed at a new all-time high on Tuesday, up 0.41 percent to 14,673.46, and at one point, reaching 14,716.46 before cooling off.

Tech stocks led the way, guided by Microsoft Corp.'s (MSFT) 3.99 percent gain for a closing price of $29.73, followed by Intel Corp. (INTC), up 3.32 percent to $21.79. Cisco Systems (CSCO), Hewlett-Packard (HPQ), and AT&T (T) were also among the Dow’s best performers.

Aerospace and defense giant Boeing (BA) received a small bump of 0.58 percent to close at $87.52, after the company announced the return of it problem-plagued 787 Dreamliner as early as next month. Boeing also announced a $1 billion investment to expand its South Carolina 787 factory, in the way of a similar announcement yesterday from its major rival Airbus regarding the opening of its first U.S. factory in Alabama.

The S&P 500 moved to within points of its all-time high during the day, hitting 1,573.89 before pulling back to 1,568.61, a gain of 0.35 percent, led by First Solar Inc. (FSLR), whose shares almost doubled (up 45.53 percent) to $39.35 after the company announced guidance figures for the rest of the year of between $4 and $4.50 per share earnings that were well in excess of analyst forecasts of $3.51 per share. The company’s share price seems to have benefited from the effects of a short-squeeze, as well as Monday evening rumors that Warren Buffet was looking in to an acquisition of First Solar’s beleaguered Chinese rival Suntech Power (STP).

Tech stocks also figured heavily into the S&P’s rally, with Microsoft, Intel, Seagate Technology (STX), and Western Digital (WDC) all recording gains of 3 percent or higher. Meanwhile services provided the downward pressure, headed by J.C. Penney (JCP), whose shares dropped over 12 percent to close the day at $13.93, after the company forced the resignation of Ron Johnson on Monday and replaced him with former CEO Mike Ullman.

Darden Restaurants (DRI), Abercrombie & Fitch (ANF), Dollar Tree (DLTR) and CarMax Inc. (KMX) all posted losses between 1.5 and 3 percent.

The Nasdaq closed up 0.48 percent to 3,237.86, with certain health care stocks doing particularly well: Sarepta Therapeutics (SRPT) up 11.16 percent to $39.85, Repros Therapeutics (RPRX) up 6.53 percent to $16.32, and Magellan Health Services (MGLN) up 2.75 percent to $51.20.

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Companies

Symbol Name Price Change % Volume
ANF Abercrombie & Fitch Company 15.72 0.18 1.16 451,962
CSCO Cisco Systems Inc. 31.64 0.25 0.80 6,676,019
DLTR Dollar Tree Inc. 77.85 0.49 0.63 705,640
DRI Darden Restaurants Inc. 61.10 0.47 0.78 352,398
FSLR First Solar Inc. 39.16 0.08 0.20 758,603
HPQ HP Inc. 15.60 0.21 1.34 3,135,894
INTC Intel Corporation 37.73 0.41 1.10 5,473,105
JCP J.C. Penney Company Inc. Holding Company 9.11 -0.14 -1.51 5,321,221
KMX CarMax Inc 52.25 0.08 0.15 271,073
MGLN Magellan Health Inc. 53.56 -0.36 -0.67 23,734
MSFT Microsoft Corporation 57.43 0.03 0.05 6,213,065
RPRX Repros Therapeutics Inc. 2.11 0.00 0.00 34,001
SRPT Sarepta Therapeutics Inc. 61.71 0.73 1.19 823,868
STX Seagate Technology 38.42 0.63 1.67 805,837
T AT&T Inc. 40.90 0.17 0.42 3,831,027
WDC Western Digital Corporation 58.96 0.69 1.18 1,314,852

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