[New York Stock Market] S&P 500 Index Breaks Through 5000 Level Intraday for the First Time Ever

Breaking Record Highs Day After Day

The S&P 500 index, a representative stock index of the U.S. New York Stock Exchange, surpassed the 5000 mark intraday for the first time in history on the 8th (local time).

On that day, the S&P 500 index recorded a high of 5000.4 at 3:59 PM, just before the market closed. This was the first time the index exceeded the 5000 level.

[Image source=Reuters Yonhap News]

However, it failed to maintain the 5000 level at the closing price. The index closed at 4997.91, up 2.85 points (0.06%) from the previous session. It set a record high for the second consecutive day following the previous day. Since breaking the previous high about two years ago on the 19th of last month, it has continued its upward trend.

The S&P 500 index is calculated using a market capitalization-weighted method based on the price movements of approximately 500 large-cap stocks listed on the U.S. stock market. It is considered a market representative index that well reflects the overall situation of the U.S. stock market. The S&P 500 index surpassed the 4000 level in April 2021.

On the same day, the Dow Jones Industrial Average closed at 38,726.33, up 48.97 points (0.13%) from the previous session. The Nasdaq index, centered on technology stocks, ended the day at 15,793.72, up 37.07 points (0.24%).

U.S.-listed companies, led by large technology stocks, showed surprise earnings in the fourth quarter of last year, performing well, which acted as a driving force for the index's rise. On that day, Disney showed surprise earnings and surged 11.5%. Semiconductor company AMD announced results exceeding expectations, soaring 47.9%.

Some have sounded warnings regarding the continued stock market rally. Michael Aron, chief strategist at State Street Global Advisors, pointed out that "after Jerome Powell, chairman of the U.S. Federal Reserve (Fed), and other Fed officials lowered expectations for a rate cut next month, uncertainty surrounding interest rates has increased again."