Dow closes above 15,000
Good economic reports and earnings news spurred index to clear a barrier and set a record.
NEW YORK - Two months after recovering the last of its losses from the financial crisis, the Dow Jones industrial average charged higher Tuesday, closing above 15,000 for the first time.
It was another milestone in the market's epic ascent of 2013. Good economic reports, strong corporate earnings, and fresh support from central banks have eased investors' concerns about another economic slowdown. Many had been on the lookout for signs that a spring swoon would derail the rally, as in each of the last three years.
Instead, Wall Street has climbed almost 15 percent since Jan. 1.
News of stronger hiring over the last three months briefly propelled the Dow over 15,000 on Friday, but it ended the week below that mark.
Wall Street followed Japanese and European markets higher after they responded to good news about central bank stimulus and the German economy. The U.S. market got a lift from higher quarterly profits at satellite TV company DirecTV and watchmaker Fossil.
The Dow closed at 15,056.20, up 87.31 points, or 0.6 percent. The Standard & Poor's 500 index added 8.46 points to 1,625.96, a gain of 0.5 percent. Both indexes reached all-time highs earlier this year, then kept climbing, largely driven by optimism that the U.S. economy will continue gaining strength.
The Nasdaq composite rose 3.66 points to 3,396.63, up 0.1 percent.
The gains piled up with the growing realization among investors that the traditional threats to a rising market - higher interest rates, falling profits, a possible recession - are unlikely to appear any time soon. With interest rates near record lows, they see few other places to put their money.
Record-high profits have also encouraged investors who fretted that slumping sales would lead to shrinking earnings. More than 400 of the S&P 500 companies have turned in first-quarter results, and more than seven out of 10 have beaten Wall Street's earnings expectations, according to S&P Capital IQ.
Fossil, a maker of watches and handbags, was among the companies reporting earnings Tuesday. Its stock leaped $8.92, or 9 percent, to $107.88 after the company said higher sales lifted its earnings.
DirecTV, the country's largest provider of satellite TV services, surged $3.99, or 7 percent, to $61.95 after its earnings beat analysts' expectations. The company reported more subscribers in the United States and Latin America.