The stock market hit another all-time high on Tuesday – with the Dow closing above 36,000 for the first time – as investors cheered the strong third quarter earnings results and looked at the much-anticipated Federal Reserve monetary policy announcement on Wednesday.
All three major stock market indices rose to record highs: the S&P 500 and the Dow Jones Industrial Average both rose nearly 0.4%, while the tech-heavy Nasdaq Composite rose 0.34%.
The market made a comeback in October – the S&P 500 rose over 5% for its best month to date this year – as corporate earnings proved resilient despite rising costs, labor shortages and inflation concerns.
Just over half of the S&P 500 companies have now released quarterly results, with around 82% exceeding analysts’ expectations, according to data from Refinitiv.
Tuesday’s gains lifted shares in Pfizer, Under Armor, DuPont and Estee Lauder.
Tesla shares, meanwhile, fell a little more than 3% after CEO Elon Musk said a massive deal with car rental company Hertz was still ongoing – although Hertz denied that claim, saying Tesla deliveries had already started.
Investors now look forward to the conclusion of Wednesday’s Federal Reserve meeting, which is widely expected to see the central bank gradually withdraw from its unprecedented pandemic-era monetary policy of its monthly asset purchase program $ 120 billion.