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The Dow hits record 30,000

Posted November. 26, 2020 08:08,   

Updated November. 26, 2020 08:08


The Dow Jones Industrial Average hit 30,000 for the first time in its 124 years of history, driven by peaceful presidential transition in the U.S. and expectations for COVID-19 vaccines. In Korea, the combined market capitalization of 10 biggest business groups, such as Samsung and LG surpassed 1,000 trillion won.

The Dow Jones Industrial Average rose 454.97 points, or 1.5%, to close at 30,046.24 at the New York Stock Exchange on Tuesday (local time). It was up 61% from its year low in March. The index hit 30,116.51 at its high during the day. The S&P 500 and the Nasdaq Composite rose 1.6% and 1.3%, respectively.

Tesla’s market cap surpassed 500 billion dollars with its shares finishing up 6.4%. The company’s market value increased by 32 billion dollars in 24 hours, making it bigger than the combined market cap of the world’s top six carmakers, such as Toyota and Volkswagen.

The U.S. stocks soared on vaccine optimism, coming from Pfizer, Moderna, and AstraZeneca and reduced political risks resulting from President Donald Trump’s cooperation on presidential transition.

In Korea, market cap of big businesses are rapidly increasing on the back of booming stock market. According to FnGuide on Wednesday, the combined market cap of 102 listed affiliates of the top 10 business groups stood at 1,069.5 trillion as of Monday. It is up 22.3% compared to that of last year.

Japan’s Nikkei index hit a 29-year high thanks to boom in the global stock market. It gained 131.27 yen to close at 26,296.86 yen on Wednesday. It was the index’s highest close since June 1991, when the Japan’s asset-inflated bubble economy collapsed.

Hee-Chang Park ramblas@donga.com