Dow hits new record high, but why?
The Dow gained nearly 100 points as markets opened this morning, ticking up to 14,225 and breaking into new record territory.
The Dow gained nearly 100 points this morning, topping 14,225 and breaking into record territory.
"I think the markets are looking ahead, they think the recovery is going to continue over the next six to nine months and that profits will continue to improve," says Gus Faucher, senior economist with the PNC Financial Services Group.
Faucher notes that, despite worries about Europe, here in the U.S., the job market is slowly improving, housing sales are up, and GDP is at is highest level ever.
"This isn't the world's greatest recovery, but on the other hand it is continuing," says Faucher, who believes the stock market bounce could help increase household wealth and bolster consumer spending.