Connect with us


S&P 500 Index Hits New Record Again



The American stock market index S&P 500 is going up-S&P 500 Index-ss-featured

Thursday, the S&P 500 Index climbed 17.22 points, or 0.4%, to 4097.17, its 19th record close of 2021. This time, a resurgence in big technology stocks propped yesterday’s rally. Since April, stocks keep crushing the market, with the broad stock market index rising 3.1%.

RELATED: S&P 500 Breaks 4,000 For The First Time

S&P 500 Index Surges To New Record

Some of the country’s largest tech companies surged ahead as concerns over rising bond rates calmed down. This tempered concerns about the high valuations of growth stocks. Ed Keon, chief investment officer at QMA, tech is making a strong comeback. “Rates going up was part of the reason why you had this broadening of the market and a bit of a rotation towards value stocks, especially financials and energy. Now rates have eased off their highs, you’re seeing those sectors underperform and technology come back into the lead,” he said. 

Meanwhile, the tech-laden Nasdaq Composite rose 1% or 140.47 points to 13829.31. Then, the Dow Jones Industrial Average added 57.31 points, or 0.1%, to 33503.57.

Relaxed Monetary Policies

Federal Reserve officials reiterated this week they will continue with easy monetary policies until the economy recovers more. Also, Fed Chairman Jerome Powell expressed concern Thursday over long-term “labor market scarring” due to the pandemic. In addition, he assured Americans of the Fed’s continued support for those out of work. Assistance will continue during the pandemic and subsequent recession. ”It’s important to remember we’re not going back to the same economy. This will be a different economy,” he said.

Meanwhile, the jobless situation remains unsteady. Latest data on jobless claims showed that layoffs rose for a second week, highlighting the recovery’s unevenness. Worker filings for initial unemployment benefits rose to 744,000 last week, up from last week's revised total of 728,000.  The number is far higher than the expected 694.000 claims based on an economists’ survey conducted by the Wall Street Journal. 

The Economy Remains Supportive For Stocks

Adrien Pichoud, a portfolio manager and chief economist at SYZ Private Banking, says the climate remains investor-friendly. “The dynamic remains supportive for stocks. The Fed and central banks, in general, are perceived to be in no rush to raise rates.”

Jason Pride, a chief investment officer of private wealth at Glenmede, described the stocks rally as “a bit of a giveback” after March’s dip. “We went from everybody throwing value stocks out the window to everyone piling into them. And OK, so things change a lot, but did the market deserve to react that quickly that fast?” he added. 

Bond Yields Cool Off

At the same time, the yield on the 10-year U.S. Treasury notes closed at 1.632%, which is down from 1.653% as of Wednesday. Earlier, the bond market went as high as 1.749% at the end of last month. Yields rise when bond prices fall.

The cooling off in bond yields led to a tech stock revival after the tech market’s disastrous March. Some of the biggest tech companies like Apple, Microsoft, Amazon, and Google (Alphabet) went up by more than 6% this month. 

Big Tech, Big Gains 

The S&P 500 index recorded other gainers too, as other software companies went up as well Thursday. For example, ServiceNow added $13.31, or 2.6%, to $524.04 while Autodesk jumped 2.6%, to $293.43. Other big gainers included Etsy and Paypal. The former rose 5.6% or $11.37 to $215.39, while PayPal gained 3.5% or $8.90 to $264.50.

Seema Shah, the chief strategist at Principal Global Investors, sees the current situation as perfect conditions to check the resilience of tech stocks. “If there ever was going to be a test for tech, it would be this environment, with rising bond yields and the work-from-home trade starting to fade, but tech has remained really resilient in the face of that,” Shah said.  

Most Markets Followed the US’s Lead

The world’s economy seemed to follow the US mood. Across the pond, the continental Stoxx Europe 600 ticked up 0.6% to a record close. In Asia, most major benchmarks posted gains at the close. This includes the Shanghai Composite Index, which added less than 0.1%, and Hong Kong’s Hang Seng Index, which rose 1.2%.

Watch the Jazz Wealth Manager’s The Closing Beat episode discussing that the stock market closed at record highs once again:

Do you plan to make investments given the S&P 500 Index rally?

Please Select One:

View Results

Loading ... Loading ...

Do you think the S&P 500 Index and others will continue to go up for the next few weeks? Do you plan to make significant investments to take advantage of this period? Let us know what you think by leaving your comments below.



  • Mack Holz says:

    I invest in Crypto Currency which normally has much higher returns . Of course all investments can go up and down. Crypto was a learning and still has a learning curve. I had very successful career and my older brother who iOS a CFP plus many other letters after his name has been handling all my stock market investments for years and has done excellent job. I also invested in physical silver & gold in early 2000’s and of course they have gone sky high. I cannot believe people on eBay are asking forty to fifty dollars per coin when I paid $12 to $15 for same coins. Also have bars and old coins too.

  • Branden Oconnell says:

    So much for that stock market crash we’d have if trump lost huh🤣

Leave a Reply

Your email address will not be published. Required fields are marked *

Copyright © 2023 The Capitalist. his copyrighted material may not be republished without express permission. The information presented here is for general educational purposes only. MATERIAL CONNECTION DISCLOSURE: You should assume that this website has an affiliate relationship and/or another material connection to the persons or businesses mentioned in or linked to from this page and may receive commissions from purchases you make on subsequent web sites. You should not rely solely on information contained in this email to evaluate the product or service being endorsed. Always exercise due diligence before purchasing any product or service. This website contains advertisements.


Is THE newsletter for…


Stay up-to-date with the latest kick-ass interviews, podcasts, and more as we cover a wide range of topics, in the world of finance and technology. Don't miss out on our exclusive content featuring expert opinions and market insights delivered to your inbox 100% FREE!