U.S. stocks kicked off the new year on a high note on Tuesday as Wall Street bet on another strong year for equities.
The Dow Jones industrial average rose 49 points, with Disney shares climbing 2.7 percent. The S&P 500 gained 0.6 percent, with consumer discretionary as the best-performing sector. The Nasdaq composite advanced 1.2 percent.
“This is basically an extension of what we saw in 2017,” said Peter Cardillo, chief market economist at First Standard Financial. “With economic data being strong, investors are betting that economic growth will translate into strong earnings growth.”
A good start to the year is usually followed by strong yearly performances, according to Ryan Detrick, senior market strategist at LPL Financial.