DJ comeback: Stock market’s best-known barometer passes 10,000 for 1st time in a year
By Sara Lepro and Tim Paradis, AP Business Writers. Wednesday October 14, 2009
NEW YORK (AP) — The Dow Jones industrial average has reclaimed 10,000 for the first time in a year.
The Dow crossed five figures in afternoon trading Wednesday, seven months after it hit a 12-year low of 6,547.05 on March 9. The comeback by the stock market’s best-known indicator is the most visible sign yet that investors believe the economy is indeed recovering from the financial crisis and recession.
Cheering erupted from traders on the floor of the New York Stock Exchange as stocks briefly moved above the psychological barrier. The Dow fell back into the 9,990 range in the normal ebb and flow of trading.
“People feel more comfortable and feel like there’s less risk in the market when you get above a psychological point like 10,000,” said Carl Beck, a partner at Harris Financial Group.
Upbeat earnings reports from chip maker Intel Corp. and banker JPMorgan Chase & Co. Wednesday gave the Dow its final push past 10,000.
Investors are increasingly shaking off lingering doubts about the economy. However, analysts still warn that problems like rising unemployment and a weak housing market pose a threat to a solid recovery.
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