The Dow closed above 16,000 for the first time ever. It’s a new milestone and the 40th record close this year for the blue chip average.
Investors snapped up stocks encouraged by better than expected news in the economy, the number of people filing for unemployment benefits fell last week, producer inflation was kept in check in October, and U.S.
manufacturing bounced back in November. And investors also seem to be getting more comfortable with so-called taper talk from the Federal Reserve. They recognize that stocks can continue rally even as the central bank reduces its stimulus program.
John Manley, chief equity strategist at Wells Fargo Funds Management offers his analysis on the markets and
whether or not the great rotation out of bonds and into stocks is finally underway.