The Dow Jones Industrial Average jumped above 12000 for the first time in almost three years as investors cheered resurgent home sales, a wave of corporate earnings and President Barack Obama’s call for corporate tax cuts and a spending freeze.The Dow gained 38 points to 12015 in midmorning trading, reclaiming a level that the blue-chip index last surrendered in June 2008. Leading the way were Dupont, Home Depot and Alcoa, all up 2% or more. The Standard & Poor’s 500-stock index gained seven points to 1298, while the Nasdaq Composite gained 22 points to 2741. The S&P 500 is on the cusp of 1300, a level it last held in August 2008. The Dow rebounded late in the day yesterday, posting a narrow loss and getting closer to the 12000 mark."It’s just one more indication that we’re all feeling better," said Jim Meyer, chief investment officer at Tower Bridge Advisors. "When we were at this level in 2008, we were at the precipice of falling off the cliff," but the economic outlook is now brightening, he said. "I think we’ll continue to chug along and continue to work our way higher through most of 2011."
By Jonathan Cheng and Kristina Peterson, Jan. 26, 2011 WSJ

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