At the dow Jones industrial average, the 25, 000 mark has exceeded the market for the first time, another day for stock prices in the us, Europe and Asia.
In Britain, the ftse 100 hit a record high on Thursday, tracking the highest level in 26 years.
The dow rose more than 25% last year, and the s&p 500 has risen every month in 2017, something that hasn’t happened in more than 90 years.
ADP national employment report estimates that the company increased by 250000 jobs in December, far higher than economists had forecast 190000 jobs, the economy’s health good reading to help promote a new surge in Wall Street.
World markets rallied sharply after surveys of manufacturing and services activity this week showed a number of countries improved.
On Thursday, the UK’s leading economic data for services showed the strongest economic growth in the last three months of 2017. Meanwhile, European manufacturing reports this week saw the strongest month before the euro.
The dow Jones index rose about 150 points after hitting a high of 25,100 in midday New York. American express, chemical company DowDuPont and computer company IBM are among the biggest promoters.
Donald Trump’s corporate tax cuts will spur the us market, which will help big companies increase their profits. Last month, congress cut corporate income tax rates from 35 percent to 21 percent, a gift from the wealthy.
President bush welcomed the new upsurge in the stock market, and he chirped: “the dow is only 25,000. A: congratulations! Massive cuts in unnecessary regulations continue. ”
While New York’s temperature was below freezing Thursday, there was little sign of significant cuts to Wall Street sentiment, and is expected to rise further in 2018. But as investors become complacent about emerging global risks, markets are worried that markets are overheating.
According to Algebris Investments fund managers Alberto Gallo (Alberto Gallo), said after the stock market rose sharply last year, investors are likely to appear before a tough time in 2018 “irrational” complacency. Economists at TS Lombard think the main risk this year could be “melting”, warning that the stock market may be out of touch with reality before a sharp crash.
If tensions between the Middle East or the United States and north Korea flare up, there could be risks. As the global central bank begins to lift unprecedented support for the global economy, the fed will loosen its policy of quantitative easing and raise interest rates, which is also the prospect of market turmoil.
Cheap money from the federal reserve, the bank of England and the European central bank helped asset prices rise as they pumped money from financial institutions into bonds. That lowers the price of debt and encourages investors to invest in riskier assets, such as equities, to generate higher returns.
The weak pound also helped support the ftse 100 index, which rose 24 points on Thursday, as most of the foreign exchange earnings of many British companies, blue-chip companies, are increasing. The index closed at 7,695.88, higher than the record closing price set last year.
Standards of Aberdeen, Aberdeen Standard Investments) Andrew Milligan, head of global strategy (Andrew Milligan) said that there are few parts of the world, who was not involved in the current economic growth, which will help further promote the market. He warned that geopolitical risk and the central bank’s rapid withdrawal of support could hit the market.
“The market is likely to continue to make progress in 2018, perhaps not as good as in 2017, but as long as the company is in cash, they will still make some pretty good progress,” he added.