The Dow Jones Industrial Average on Tuesday rose above 30,000 for the first time ever.
The Dow traded 520 points higher, or 1.75 percent. The S&P 500 climbed 1.6 percent, with all 11 sectors up. The Nasdaq climbed around 1 percent. The Russell 2000 hit an all-time high, climbing around 1.9 percent.
The stock market has experienced a powerful rally as drug makers announced test results showing their coronavirus vaccines appear to be highly effective. The Dow is up nearly 12,000 points since its lows in March.
— Mike Pence (@Mike_Pence) November 24, 2020
If the rally holds, November will have been the best month for stocks since 1987.
The energy sector was the best performing sector of the S&P on Tuesday morning, rising 4.5 percent. Year to date, the energy sector is down 34.86 percent as the pandemic beat down demand for fuel. Shares of Boeing rose 4.3 percent. Shares of United Airlines jumped more than 8 percent. Shares of rental car company Avis Budget rose 5.3 percent. Shares of Macy’s rose nearly 5.4 percent.
The Dow Jones Industrial Average was boosted by recent vaccine developments and reports that Biden would nominate former Federal Reserve chairwoman Janet Yellen to lead the Treasury Department in January, according to CNBC. The index, which is made up of 30 blue-chip U.S. industrial and financial companies, was led by Boeing and Chevron Tuesday, which each traded more than 3% higher.
“If [Yellen] becomes secretary, when she goes into a room with finance ministers from other countries, she’s going to be the best prepared person in the room — probably the smartest person, too, but certainly the best prepared,” said Alan Blinder, a former Federal Reserve vice chairman who served with Yellen, according to The Wall Street Journal.
Pharmaceutical companies Pfizer, Moderna and AstraZeneca have all recently reported positive coronavirus vaccine results showing upwards of 90% efficacy from large-scale human trials. Pfizer filed for emergency use authorization with the Food and Drug Administration on Friday.
President Trump spoke on the vaccine trials and historic market achievement on Tuesday morning.
— The White House (@WhiteHouse) November 24, 2020
The last major Dow Jones Industrial Average milestone was reached in January 2017 when the index hit 20,000 for the first time ever, CNBC reported.