Make us your home page
Instagram

Dow records 5.8 percent gain in January, best since 1994

NEW YORK — Despite falling nearly 50 points Thursday, the Dow Jones Industrial Average logged its best start to a year in almost two decades.

Stocks rallied in the first week of the year after U.S. lawmakers reached a deal to avoid the "fiscal cliff," and then pushed higher toward record levels as optimism about the housing market recovery grew. Decent company earnings for the fourth quarter and an improving job market also helped lift markets.

The Dow ended the month up 5.8 percent, its strongest January since 1994, according to S&P Capital IQ data. The Dow is just 304 points from its all-time high. The Standard & Poor's 500 index finished the month 5 percent higher, its best start to the year since 1997.

"There's not a whole lot of bears left here," said Jeff Hirsch, the editor of the Stock Trader's Almanac.

On Thursday, the Dow fell 49.84 points to 13,860.58. The S&P 500 dropped 3.85 points to 1,498.11, and the Nasdaq composite edged down 0.18 points to 3,142.13.

The yield on the 10-year Treasury note, which moves inversely to its price, was little changed at 1.99 percent.

About $51 billion in net deposits was moved into stock funds and so-called hybrid funds, which invest in a mix of stocks and bonds, consultant Strategic Insight said. That's the most since $56 billion flowed in during January 2004.

Stocks have gained against a backdrop of low borrowing costs and a slow, steady economic recovery. However, the market may struggle to build on those gains in the immediate future as traders and investors turn their attention back to Washington's budget debates, said Ernie Cecilia, chief investment officer at Bryn Mawr Trust.

Dow records 5.8 percent gain in January, best since 1994 12/28/12 [Last modified: Thursday, January 31, 2013 7:12pm]
Photo reprints | Article reprints

© 2017 Tampa Bay Times

    

Join the discussion: Click to view comments, add yours

Loading...
  1. Tampa is 15th-most popular city to move to with U-Haul

    Markets

    TAMPA —Tampa is undoubtedly a destination point, at least according to U-Haul.

    Tampa is the No. 15 destination for people moving with U-Haul trucks. | Times file photo
  2. Florida's economy growing faster than other big states and far better than U.S. overall

    Business

    When it comes to economic growth, Florida's running alongside the leading states and well ahead of the United States as a whole.

  3. Westshore Marina District project takes shape with another acquisition

    Real Estate

    TAMPA — One of Tampa Bay's prime waterfront areas took another major step toward redevelopment Friday as WCI Communities bought 2.35 acres in Westshore Marina District.

    WCI Communities, Lennar's high-end subsidiary,has paid $2.5 million for 2.35 acres in the Westshore Marina District for 35 townhomes. WCI is under contract  to buy an additional 9.5 acres.
[BTI Partners]
  4. Posh Guy Harvey RV park to open in Tampa Bay with $250,000 cottages

    Business

    HOLIDAY — Love those Guy Harvey T-shirts with the soaring marlins? In the not too distant future, you might be able to kick back in your own Guy Harvey cottage in the first-ever Guy Harvey RV park.

    Renderings of the clubhouse and an RV cottage site of the planned Guy Harvey Outpost Club & Resort Tarpon Springs.
[Guy Harvey Outpost Collection]
  5. Port Tampa Bay secures $9 million grant to deepen Big Bend Channel

    Business

    Port Tampa Bay has secured a $9 million grant from the U.S. Army Corps of Engineers for the widening and deepening of the Big Bend Channel in southern Hillsborough County.