S&P 500 Flirts with 2000 Again with a Good Chance to Top It Next Week

The S&P 500 index fall 12 points short of 2000
The Standard and Poor’s 500 (S&P 500) is once again flirting with the 2,000 point value, falling just 12 points short of achieving this highly anticipated milestone on Friday. While it wasn’t able to break the barrier last week, it did manage to close at 1,988.40 points. While that was down 3.97 points from its all time high reached on Thursday, for the week the index rose 1.7% to increase its gains since the beginning of the year to 7.6%.

All indications are that it will have a good opportunity to pass the mark in the coming week as analysts continue to see improving housing and manufacturing sectors. When it does top the mark, it will be the first time the S&P 500 has surpassed the 2,000 milestone. It wasn’t too long ago that the 2000 mark still looked quite far out of reach. The index has managed to recover 4.1% when it fell to a two-month low on August 7 and it appeared the 2,000 milestone might be months away.

The S&P 500 has come a long way over the last 5 and a half years. On March 9, 2009, the index was sitting at 676.53 points at its low during the 2007 – 2009 bear market. At the time, there were fears the index might go even lower, possibly much lower. It didn’t, however, reversing the trend to where it now stands to top 2000 points in the coming days.

It’s been a pretty impressive feat. During the 5+ years, the index has managed to achieve a 194% gain helped by three major rounds of stimulus given through the Federal Reserve, plus strong corporate earnings. Once know for its volatility, the index has avoided a 10 percent drop in value over the last three years.

Overall, all three of the major indexes had another good week. The Dow Jones industrial average had a negative Friday with a 38.27 point fall (-0.2%) to 17,001.22 for the day, but was up 338.31 points for the week (2.0%), and managed to stay above 17,000 milestone for the first time in several weeks. The Dow is now well out of negative territory for the year, up 424.56 points (2.6%) for the year.

The Nasdaq composite continued it steady climb by adding 6.45 points (0.1%) to 4,538.55 on Friday, and up 73.62 points (1.7%) for the week. That’s a 361.96 point increase for the year, or 8.7 percent.

(Photo courtesy of dflorian1980)

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4 Responses to S&P 500 Flirts with 2000 Again with a Good Chance to Top It Next Week

  1. Frank says:

    I wonder if we are beginning to see another bubble in the technology sectors?

  2. devon says:

    It was a great week for Apple. I think the entire tech sector is feeding off of that positive news.

  3. Bradly says:

    It’s always a good week when stocks end the week higher than when they began, although the stock market prices really shouldn’t matter to those who are in for the long term. It’s when you reach retirement and begin selling when it matter s most how the stocks are doing.

  4. deek says:

    I wish I would have invested 5 years ago now…

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