NEW YORK: Energy and media shares were among the winners Thursday as US stocks resumed their upwards climb following passage of the landmark US tax cut.
Stocks fell the previous two days as Congress approved the final version of the $1.5 trillion tax cut bill, after hitting several new records in recent weeks in anticipation of the massive corporate tax cut.
The Dow Jones Industrial Average finished up 0.2 percent at 24,782.29.
The broad-based S&P 500 gained 0.2 percent to 2,684.57, while the tech-rich Nasdaq Composite Index rose 0.1 percent to 6,965.36.
Credit Suisse became the latest large bank to upgrade its stock market projections, lifting its 2018 forecast for the S&P 500 to 3,000 from the prior 2,875, citing higher earnings from the tax cut as one factor.
Petroleum-linked shares were especially strong, with Dow member ExxonMobil winning 3.3 percent, Apache 5.0 percent and Devon Energy 2.7 percent.
“The energy sector fell out of favor for a long time,” said Tom Cahill of Ventura Wealth Management, adding that earnings should be boosted by higher oil prices.
Most large media shares also advanced. Comcast rose 3.6 percent, Time Warner 2.6 percent and Twenty-First Century Fox 2.5 percent.
Bed, Bath and Beyond plunged 12.5 percent after reporting that third-quarter comparable sales declined 0.3 percent. Net income dropped 51.5 percent to $61.3 million.
Power company PG&E sank 13.0 percent after announcing it would suspend its dividend because of the potential liability connected to California wildfires, which remain under investigation.
Source: Brecorder.com
