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Good News For Economy, Dow Jones Beats The 13,000 Mark

Investors, markets and companies have been waiting for this day for four years now. Finally, the economy recovered to the 2008 level and Dow Jones’ recent boost is proof enough. Today, Dow Jones beat the 13,000 mark for the first time in the last years.

Wall Street and federal authorities tried hard to patch the economy to boost at least to the performance it had before the 2008 financial crash. After four years of high unemployment, frozen housing sector and increasing national deficit as well as the overall market volatility, there’s finally some solid confidence things are headed towards a better end.

The Associated Press reports that the Dow Jones industrial average managed to cross the 13,000 mark this Tuesday, marking the first time that happened since May 2008. Pushed by the Greek bailout deal and strong earnings reported by companies, Dow Jones crossed the 13,000 mark in the first two hours of the trading day.

The agreement on the Greek bailout brought some financial stability in international markets, as European Union and the International Monetary Fund announced they will give Greece a $172 billion loan. Investors also pardoned Greece of another hundred billion dollars, which obviously reduced the concern of the ever increasing debt.

Coupled with strong earnings reported by companies such as Home Depot and Dollar Thrifty, Tuesday was a good day for Dow Jones and the U.S. market.

Four years ago, on May 19 Dow Jones closed above 13,000 for the last time. One year later, on March 9, the Dow fell to 6,547, as the financial meltdown took its toll with Lehman Brothers’ bankruptcy bringing down the economy and Wall Street.

John Manley, chief equity strategist for Wells Fargo’s funds group, told Washington Post: “You need notches along the way to measure things, and that’s as good as any. Is 50 older than 49 and a half? Yes, by six months. Do those six months really make a difference?”

For Dan McMahon, director of equity trading at Raymond James, Dow Jones’ crossing of the 13,000 marker is a “positive catalyst, and that’s what we need to get us through the next range”.

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Ronald Silva is one of our newest publishers.He currently lives in Toronto (Canada) with his family.Ronald covers the music and sports sections of DailyGossip.org. Over the past few years, Ronald has participated in various journalistic projects including some of which he started when he worked for a local newspaper in Toronto. Contact him at Ronald.Silva@dailygossip.org.

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