NEW YORK, U.S. – Recording a nearly half percent rise on Tuesday, the Dow Jones Industrial Average posted its 14th record closing high this year.
Lifted by Intel’s over 3.5 percent rise and Boeing’s all-time high on Tuesday, the Dow managed to outpace other indexes, as it rose 122.73 points, or 0.46 percent, to end at 26,773.94.
While blue-chip average started the fourth quarter on a high, the tech-heavy Nasdaq Composite slipped 37.76 points, or 0.47 percent, to 7,999.55 – edging lower for the second straight day.
Losing 1.16 points, or 0.04 percent, the S&P 500 closed flat at 2,923.43.
Recording a total decline of 5.6 percent, after dropping 1.91 percent in a third straight session, Facebook’s performance weighed on both the S&P 500 and Nasdaq.
The world’s largest social networking firm continued to face criticism over failing to take online security seriously, after it disclosed its worst security breach ever that affected 50 million of its users.
Meanwhile, Amazon expressed hopes to gain Congressional support as it announced plans to raise its minimum wage for its U.S. workers to $15 from the start of November.
The announcement however, dragged the company’s shares down.
For Tesla, that just emerged from a recent turmoil, the record high quarterly car production couldn’t stop its shares from declining on Tuesday as investors watched closely to see how the new tariffs on U.S. auto imports into China affect the electric carmaker.
However, some major S&P sectors performed well, with utilities rising 1.3 percent and consumer staples soaring 0.6 percent.
Meanwhile, extending its weekly loss to 2.4 percent, the smallcap Russell 2000 index shed 1.01 percent.
Even though investors remained upbeat after the last-minute trade deal struck between the U.S. and Canada, the outlook for global trade was positive, but demand for smaller, domestic firms weakened.
Shaky world stocks
Overall on Tuesday, stocks across the world remained shaky.
The MSCI world equity index dipped 0.2 percent, paring the gains that followed the new trilateral trade deal announced by U.S., Mexico, and Canada on Monday.
European markets lost ground after a senior Italian lawmaker suggested that leaving the Euro would solve the country’s budget problems.
The economic head of the ruling League party and the chairman of the budge committee of the lower house of parliament, Claudio Borghi suggested in a radio interview that Italy could have a brighter financial future outside the eurozone.
Borghi said, “I’m truly convinced that Italy would solve most of its problems if it had its own currency.”
While his comments drove Italian 10-year bond yields to a new 4-1/2-year high, shares in Italian banks hit a 19-month low before recovering some of their losses.
The euro fell to its weakest since August 21, at $1.1505, before retracing to $1.1551.
It was down 0.22 percent on the day.
Later, Borghi called the euro “unpronounceable,” in an effort to backtrack, but by then, some markets had already witnessed damage.
Asian stocks meanwhile, were lower.
China’s financial markets remain closed between October 1 and 5.