NY Stock Market Cheers Infrastructure Investment Bill Passage... S&P 500 Surpasses 4700

Building Materials and Heavy Equipment Companies Surge
Tesla Falls 4.9%... Ford Surpasses $20 for the First Time in 20 Years

[Image source=Reuters Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] The US New York stock market rose again on the back of the passage of the infrastructure investment bill. The S&P 500 surpassed the 4700 mark for the first time in history.

On the 8th (local time), the Dow Jones Industrial Average rose 104.27 points (0.29%) to close at 36,432.22, the S&P 500 index increased 4.17 points (0.09%) to 4,701.70, and the Nasdaq index gained 10.77 points (0.07%) to finish at 15,982.36.

Last week, the US House of Representatives passed a $1 trillion infrastructure investment bill, which stimulated investor sentiment. After the Senate passed the bill in August, its passage had been delayed due to divisions within the Democratic Party, but with its approval, expectations spread across the market as well as benefits to related industries.

Anthony Pettinari, a Citigroup analyst, explained, "We see this investment as an important catalyst for stock market growth."

On that day, sectors related to raw materials and infrastructure investment all showed strong performance. Mining companies Freeport-McMoRan and CF Industries, construction materials company Vulcan, and steel company Nucor led the market gains. Construction equipment maker Caterpillar also joined the upward trend.

Semiconductor company AMD soared 10.1%, reflecting the effect of securing Facebook as a customer. Nvidia also rose 3%, boosted by BMO Capital Markets raising its target price from $250 to $375.

Tesla, whose CEO Elon Musk expressed intentions to sell 10% of his shares, closed down 4.8% that day.

Unlike Tesla's slump, Ford rose 4.4% as Goldman Sachs raised its target price, breaking the $20 stock price level for the first time in 20 years.

From that day, the US allowed entry of overseas travelers who have completed vaccination, leading United Airlines and Delta Air Lines to record gains of around 1%.

Bitcoin and Ethereum soared to all-time highs, causing cryptocurrency-related stocks such as Riot Blockchain (16%), Marathon Digital (17%), and Coinbase (5%) to surge together.

According to CoinMarketCap, Bitcoin rose 5.2% to $66,328, and Ethereum increased 3.3% to $4,786.

This content was produced with the assistance of AI translation services.