Stocks in the US rallied on Wednesday, with the Dow Jones Industrial Average topping 21,000 as markets applauded yesterday’s speech from President Donald Trump.
On the Standard & Poor’s 500, nine of the 11 sectors rose, led by a 2.7% surge in financials and a 2.1% gain in energy. On the Dow, all but two of the 30 blue chips were in the green. JPMorgan Chase (JPM) jumped 3.3% and Exxon Mobil (XOM) rose 2.3% as it said it plans to raise capital spending by 16% in 2017 to $22 billion.
“The President presented an aggressive agenda focused on the very issues he campaigned on including tax reform, regulation reduction, immigration reform, and infrastructure spending,” said Lindsey Piegza of Stifel Economics. “The market, however, seemed to take the lack of specifics in stride, still offering a vote of confidence and patience for that matter, given that the general pro-growth agenda policies by the president would be achieved at some point, if not more immediately as originally hoped.”
In company news, Enphase Energy (ENPH) dropped 15% after fourth-quarter results missed expectations. HEICO (HEI) gained 5.6% after its first quarter results topped the Street’s expectations and the full-year outlook was raised.
Mylan (MYL) rose 6.6% after the pharmaceutical company reported fourth quarter results that topped estimates. And American Eagle Outfitters (AEO) posted mixed quarterly results but guided first-quarter earnings below analysts’ expectations.
In afternoon trading, the S&P 500 and the Dow were up 1.4%, while the Nasdaq added 1.3%.
Globally, the Nikkei 225 gained 1.4%, the Hang Seng and the Shanghai Composite both added 0.2% and the FTSE 100 jumped 1.6%.