The financial sector and the healthcare sector have led the Dow Jones industrial 152 points higher for the session. The index closed at 22,563.90 points, with the Goldman Sachs shares contributing the most. The healthcare sector performs exceptionally well in the S & P500, recording a 0.9% increase, providing a 0.4% rise in the index, which ended Monday’s trade at 2,529 points.
The financial sector in the index recorded a very good performance, marking an increase of almost 2% over the past month. The best performance for the day in the index was marked by General Motors, whose shares rose by 4.4% after the auto giant announced that it would launch 20 new electric cars and fuel-cell cars in five years. Despite declines in shares of companies like Facebook and Alphabet, the NASDAQ Composite index also ended the day with a raise.
Hope for a tax reform in the US has pushed Wall Street to record highs at the beginning of the week and October. US President Donald Trump is making a tax rebate strong, according to which companies should pay a maximum of 20 percent instead of 35 percent. Investors are optimistic that something will happen in the area, said the JPM analyst Nadia Lovell. In addition, consumers would also have more money in their pocket to put them back into the economy. Trump has also proposed lowering tax rates for private sector.
Economic data also contributed to the optimism: the US industry again showed strong growth in September. In the US industry, sentiment continued to improve in September and reached its highest level in 13 years. The purchasing managers index ISM rose 2.0 points to 60.8 meters, while economists were expecting a decline. In addition, construction expenditure in August had risen again after a sharp decline in the previous month, a little stronger than expected.
Among the individual figures, the massacre in Las Vegas attracted mainly shares of arms manufacturers. This was probably the result of expectations that more Americans with even more weapons could now cover themselves for self-defense as well as for fear of a possible tightening of the arms legislation. First demands in this direction have already been voiced on the part of the Democrats, while the White House considers such discussions premature.
The shares of American Outdoor Brands Corp., the manufacturer of Smith & Wesson firearms, and Sturm, Ruger & Company Inc. (Sturm RugerCo) each gained more than 3 percent. The shares of Vista Outdoor were up 2 percent.