Stock Market and Investing and Banking & Finance

Dow Jones industrials close above 10,000

October 14, 2009

The Dow Jones industrial average is back above 10,000 for the first time in a year.

The Dow crossed five figures Wednesday afternoon, seven months after it hit a 12-year low of 6,547.05 on March 9. The comeback by the stock market's best-known indicator is the most visible sign yet that investors believe the economy is recovering from the financial crisis and recession.

Upbeat earnings reports from Intel Corp. and JPMorgan Chase & Co. gave the Dow its final push past 10,000.

The Dow closed at 10,015.86, up 144.80, or 1.5 percent.

The Standard & Poor's 500 index rose 18.83, or 1.8 percent, to 1,092.02. The NASDAQ composite index rose 32.34, or 1.5 percent, to 2,172.23.

Winning stocks outpaced losers by more than 3 to 1 on the New York Stock Exchange, where volume came to 1.35 billion shares.

The Dow Jones industrials index hasn't exceeded 10,000 since Oct. 7, 2008, and hasn't closed above 10,000 since Oct. 3, 2008. The 10,000 level on the Dow is 29.4 percent below its record close of 14164.53 hit on Oct. 9, 2007.

The index first finished above 10,000 on March 29, 1999, in the midst of a powerful rally that ended with the dot-com bust at the start of this decade. Stocks then fell below that mark last October as investors sold stocks in a feverish panic following the downfall of Lehman Brothers.

Cheering erupted from traders on the floor of the New York Stock Exchange as stocks briefly moved above the psychological barrier.

"People feel more comfortable and feel like there's less risk in the market when you get above a psychological point like 10,000," said Carl Beck, a partner at Harris Financial Group.

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