Stocks close at record highs as investors shake off shutdown concerns
The three leading U.S. indexes closed at record highs on Thursday as investors shrugged off concerns tied to a U.S. government shutdown that had entered its second day.
The S&P 500 inched up 0.06% to close at 6,715.35. It was up 0.3% at the day’s peak, reaching a fresh all-time intraday high. The Dow Jones Industrial Average climbed 78.62 points, or 0.17%, to finish the day at 46,519.72, while the Nasdaq Composite rose 0.39% to finish at 22,844.05. The tech heavy index also hit a new intraday record as well, supported by a gain in Nvidia shares, which also reached an all-time high, as investors continued to pile into the artificial intelligence giant.
Weighing on sentiment, Treasury Secretary Scott Bessent told CNBC Thursday that gross domestic product may “see a hit” as a result of the current government shutdown. His comments heightened investors’ fears that U.S. economic performance will suffer more of a blow the longer the shutdown persists.
Hopes that the federal funding lapse would be brief and therefore limit any serious effects on the economy sent the three major U.S. stock indexes into the green in the previous session. The S&P 500 notched its 29th closing high of the year Wednesday, finishing above the 6,700 threshold for the first time, after the index hit a new all-time intraday high earlier that day. The Dow likewise saw a record close in the prior trading day.
The shutdown began after top Democrats and Republicans failed Tuesday to meet the deadline to agree on a deal that would keep the government funded. Lawmakers blamed each other for the stoppage as Democrats stayed firm on their demands to use the measure to extend health care tax credits for millions of Americans.
President Donald Trump said Thursday that Democrats have given him an “unprecedented opportunity” to cut federal agencies.
Source : Cnbc.com
