U.S. stocks are inching further into record heights Thursday, as Wall Street continues to coast following its rocket ride last month powered by hopes for coming COVID-19 vaccines.
The S&P 500 was up 0.1% in afternoon trading, a day after inching up to set another all-time high. The Dow Jones Industrial Average was 134 points higher, or 0.5%, at 30,019 as of 2:11 p.m. Eastern time, and the Nasdaq composite was up 0.4%. Small company stocks were faring better than the broader market. The Russell 2000 index of small-cap stocks was up 1%.
A couple reports that were better than expected on the economy helped support stocks. One showed that growth in the U.S. services sector, including health care and retail, was slightly stronger last month than economists expected. A separate report said fewer U.S. workers filed for unemployment benefits last week than forecast, though economists cautioned the number may have been distorted by the Thanksgiving holiday.
Momentum across markets has slowed after the S&P 500 surged 10.8% last month on hopes that one or more coronavirus vaccines will get the global economy closer to normal next year. The burst of optimism boosted stocks of travel companies, banks and smaller businesses in particular, after they were among the most harshly punished during the pandemic.
“It’s pretty clear that investors are looking at some of those areas that would benefit from a more complete reopening,” said David Lefkowitz, head of Americas equities at UBS Global Wealth Management.