Dow reaches record highs as infrastructure bills boost economic activity

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, USA, October 27, 2021. REUTERS / Brendan McDermid

  • Tesla slips after Twitter users vote for Musk to sell shares
  • Caterpillar is leading the way among industries
  • Travel shares rise after the US lifts curbs
  • Indices: Dow up 0.15%, S&P flat, Nasdaq up 0.11%

November 8 (Reuters) – The Dow set a record on Monday when the adoption of a $ 1 trillion infrastructure bill lifted industrial, materials and other economy-focused sectors, while Tesla fell on top CEO Elon Musk’s plan to sell around a tenth of his efforts .

Five of the 11 major S&P 500 sector indices were higher after Congress on Saturday passed the long-delayed infrastructure bill, which was hailed by President Joe Biden as a “once in a generation” investment. read more

“This infrastructure bill is going to put some energy into companies like 3M, Caterpillar and other companies that run the industrial sector, but we also believe that the materials sector will really benefit from that bill,” said Greg Bassuk, CEO of AXS Investments in Port Chester. , New York.

Tesla Inc (TSLA.O) fell 3.0% after CEO Musk tweeted on Saturday that he would sell 10% of his holdings if users of the social media network approved the proposal. Around 57.9% of the people voted “Yes”. read more

“Although there will be some downward pressure on Tesla in anticipation of Musk selling shares … we believe it could create a buying opportunity because nothing has changed in terms of the underlying fundamentals and prospects,” Bassuk said.

Travel and tourism stocks rose, led by airlines, as the United States lifted travel restrictions imposed on large parts of the world since the COVID-19 pandemic began. The S&P 1500 Airlines Index (.SPCOMAIR) rose 1.1%. read more

The Philadelphia SE Semiconductor Index (.SOX) rose 1.3% to record highs.

Advanced Micro Devices Inc (AMD.O) rose 9.0% after registering Meta Platforms Inc (FB.O) as a customer for data center chips and announcing new super data chips to take on its larger rival Nvidia Corp (NVDA.O ). read more

Wall Street’s main indices reached record highs last week, backed by an optimistic earnings season, strong job data from October and a positive update of Pfizer Inc’s (PFE.N) experimental pill against COVID-19.

Investors last week also shrugged off the Federal Reserve’s decision to start reducing its monthly bond purchases, put in place to support the economy during the COVID-19 pandemic.

On Monday, Fed officials turned their focus to a debate on interest rate policy that is likely to intensify in the coming months, with a top official saying that the conditions for an interest rate hike could be met next year. read more

At 11:57 ET, the Dow Jones Industrial Average (.DJI) was up 54.01 points, or 0.15%, to 36,381.96, the S&P 500 (.SPX) was up 0.09 points, or 0.00% , to 4,697.62 Composite Nasdaq. (.IXIC) was up 17.89 points, or 0.11%, to 15,989.48.

Shares in cryptocurrency and blockchain-related firms Coinbase Global (COIN.O), Riot Blockchain (RIOT.O), Marathon Digital Holdings (MARA.O) and MicroStrategy Inc (MSTR.O) rose between 5.7% and 7.6% , as ether scaled new peaks and bitcoin approached record highs. read more

Progress issues outpaced the declines by 1.56 to 1 on the NYSE and by 1.38 to 1 on the Nasdaq.

The S&P index registered 49 new 52-week highs and a new low, while Nasdaq registered 184 new highs and 40 new highs.

Reporting by Shreyashi Sanyal and Devik Jain in Bengaluru; Editing by Aditya Soni

Our standards: Thomson Reuters Trust Principles.

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