Wall Street Extends Winning Streak With New Record Highs

Wall Street’s major averages all closed at record highs again on Wednesday buoyed by bullish data on the services sector and assurances from the Secretary of State that he was staying in office. The uptrade was curbed, however, by elevated valuations and discussions of who would lead the Federal Reserve next year, resulting in only an incremental move higher in the Dow, S&P 500 and Nasdaq Composite.

Stocks were mixed for the first half of the trading day as investors cashed in on recent profits in the technology sector, while comments from President Donald Trump about possibly forgiving Puerto Rico’s debt weighed on shares of investment banks.

The Institute for Supply Management non-manufacturing index set in motion a gradual move higher with a 12-year high of 59.8, offsetting soft private payroll data and a decline in the corresponding services sector index from the purchasing managers.

Midday, the S&P 500 and Nasdaq perked up and joined the Dow in positive territory after Secretary of State Rex Tillerson assured Americans that he is not resigning his post despite media reports of acrimony between him and Trump. Investors breathed a sigh of relief as Tillerson has been instrumental in pacifying North Korea and keeping geopolitical risks from plaguing Wall Street.

On Thursday’s calendar is the weekly jobless claims data as well as balance of trade and factory orders data for August. From the Fed, Governor Jerome Powell, San Francisco president John Williams, Philadelphia Fed president Patrick Harker and Kansas City Fed president Esther George will all appear at various venues during the day.

By Brianna Stevens