The Dow Jones industrial average of 30 stocks broke through the 13,000 level today, Tuesday, Feb. 28, 2012, and stayed there through the closing bell, something that last happened on May 19, 2008, reports The New York Times.
According to the story, "As it did twice last week and on Monday, the Dow poked through the 13,000 level in intraday trading on Tuesday but then dropped back down toward the end of the day before a final surge that pushed it up to about 13,005."
The story adds, "It was a day marked by a handful of economic reports that were generally positive. The Conference Board’s measure of consumer confidence registered a 12-month high of 70.8 this month, a reflection presumably of continued improvement in labor market conditions, economists from Capital Economics said in a research note. Home prices, however, have fallen, with the 20-city Standard & Poor’s/Case-Shiller index declining 4 percent in December year-over-year. Durable goods orders fell 4 percent in January, but aircraft orders accounted for much of the drag. "
The Times also notes that " ‘Thirteen thousand is not so very important technically as it is emotionally, simply because it is not 12,000,’ Dan McMahon, the head of equity trading at Raymond James & Associates, said earlier Tuesday. ‘It is on the way to 14,000. It is kind of a landmark on the way. The market has rallied significantly since the October lows and everything seems to be trending in the right direction,’ Mr. McMahon added. ‘We are waiting for the next catalyst.’
"Mr. McMahon said a better barometer for the market in general was the Standard & Poor’s 500-stock index, which measures the broader market, and has already hit its own precrisis levels."