WALL STREET >>> Dow Closing In On 3-Year High

DJIA Defeats 12,700 on Bulls' Second Wind
Major Indexes All At Multi-Year High
Stocks spent the first half of the session loitering near the breakeven line, as unimpressive economic data initially rained on the bulls' parade. Most notably, the Commerce Department estimated first-quarter gross domestic product (GDP) growth at an annual rate of 1.8%, marking a notable slowdown from the 3.1% growth seen in the fourth quarter of 2010. In similar fashion, the Labor Department said first-time filings for unemployment benefits climbed to a three-month peak last week, exacerbating concerns about a still-sleepy job market. Nevertheless, the bulls got a second wind in afternoon trading, shrugging off the uninspiring data to extend Wednesday's Fed-induced rally. As investors opted for rose-colored glasses, the Dow Jones Industrial Average (DJIA) and its peers continued their journey into new-high territory, while the CBOE Market Volatility Index (VIX) -- otherwise known as the market's "fear gauge" -- ended near a fresh multi-year low.

The Dow Jones Industrial Average (DJIA – 12,763.31) picked up steam in the final hour of the session, adding 72.4 points, or 0.6%, by the bell. Earlier in the day, the blue-chip barometer soared as high as 12,776.14, marking its loftiest price since May 2008. Only seven of the Dow's 30 components bucked the trend, with Hewlett-Packard (HPQ) leading the black sheep with a loss of 1.2%. Boeing (BA), on the other hand, paced the bullish majority with a gain of nearly 3.2%.

The S&P 500 Index (SPX – 1,360.48) also benefited from an eleventh-hour surge of buyers, tacking on 4.8 points, or 0.4%, by the close. The broad-market index finished just a hair's breadth from its intraday acme of 1,361.71 -- in territory not explored since June 2008. Finally, the Nasdaq Composite (COMP – 2,872.53) reversed early losses to end with a gain of 2.7 points, or 0.1%, after topping out at 2,874.59 -- a 10-year peak -- just before the close.

Analyst Quote

“Overall it’s been a good period, earnings have come in better than expected and the market is just sort of dealing with that right now. We’re very overbought but may have more room to run,” 

HAPPY TRADING