The Dow Jones Industrial Average finally hit the 20,000 psychological milestone Wednesday at market open after weeks of wondering if it would.
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The Dow monitors the values of shares at the 30 largest companies in America. As those companies perform better economically, so does the nation, at least in theory.
After a dip in stocks on the night of the presidential election, they surged to meet new highs the following day.
A few weeks later, the Dow flirted extremely close to the 20,000 milestone, at times hitting within less than half a percentage point away.
Hope began to waiver when, on Jan. 12, the Dow and S&P 500 saw their worst one-day declines in three months.
Now, however, it is up and past 20,000 for the first time ever. Some are crediting the increase to a reignition of the “Trump Rally” after he signed numerous executive orders, according to an article by Tara Cunningham for The Telegraph. However, the author questions whether the high will last.
Another factor pushing the Dow higher is DR Horton’s, the largest construction company in the U.S., earnings, which came in higher than expected. Capital Markets even raised their target by $0.11 per share due to their expectations for strong execution and a favorable outlook.