Nasdaq closes above 3,000 as stock rally continues
First came Dow 13,000. Now comes Nasdaq 3,000.
Solid economic news and no unpleasant surprises from the Federal Reserve’s policymaking meeting propelled a vibrant stock-market rally that also pushed the Dow Jones industrial average up 218 points.
The Nasdaq jumped 56.22 points, or 1.9%, to 3,039.88, its highest close in more than 11 years. The index has surged 16.7% this year amid investor excitement over the technology sector, spurred in part by a string of initial public offerings of social-media companies that is expected to hit its zenith later this year with the debut of Facebook Inc.
Of course, the Nasdaq has seen 3,000 before – during the dot-com bubble in which the index eventually topped 5,000 before plummeting in the bust that took hold in early 2000 and stretched for nearly three years.
Market watchers say the tech sector is on much firmer ground now – with companies actually generating revenue and profits and stock prices at far more reasonable valuations.
The Dow rose 217.97 points, or 1.7%, to 13,177.68 – its best level since mid-2008.
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