Read more about Dow cracks 30,000, a psychological boost during Covid-19 pandemic on Business Standard. At 30,000 points the Dow could lure in small investors still on the sidelines who are now eager to share in the market exuberance
The Industrial Average clocked its fastest 10,000 point run up to cross 30,000 for the first time on Tuesday, giving the stock market a psychological boost at a time when the pandemic has damaged the economy and left millions unemployed. Investor sentiment has been lifted by encouraging news about coming vaccines and improving prospects for a smooth White House transition. But the milestone is less significant to professional investors. At 30,000 points the Dow could lure in small investors still on the sidelines who are now eager to share in the market exuberance. But market watchers say they are less impressed than they were with the 20,000 mark reached in January 2017, and technically speaking it means little beyond making a headline that can turn heads. Brian Levitt, Global Market Strategist at Invesco, advised clients in a blog not to be overly impressed or concerned by new records that offer very little information by themselves. Dow 20,000 was met with much less fanfare than Dow 10,000 almost 18 years earlier, he noted. «Many pundits coined it ‘the least loved bull market in history.’ Perhaps, after the tech wreck and the financial crisis, we were too world-weary to celebrate. And yet maybe the missing jubilation was as good a sign as any that the advance would continue.» The DJIA on Tuesday rose 1.
