NEW YORK: Stocks on Thursday notched another day of record gains as some retailers reported improved sales, though tech stocks tumbled after a report showed a sharp decline in PC demand.
The S&P 500 index ended up 5.64 points at 1,593.37. The technology-laden Nasdaq composite rose 2.9 points to 3,300.15.
After an early fall, the Dow Jones industrial average ended up 62.90 points, or 0.4 percent, at 14,865.14, also a record close. Pfizer Inc. led gains that included all but five of the Dow’s 30 members.
The retail investor is starting to dabble in the stock market, albeit in a tentative fashion, according to Patrick O’Hare, chief market analyst at Briefing.com.
The cautious approach is “one reason for the outperformance of the defensive sectors, as they are a conservative pathway back into the market, with generally low volatility and nice dividends,” he said.
Defensive sectors typically refer to telecom, health care, consumer staples and utilities shares. They are often less volatile and carry higher dividends. Their outperformance this year, particularly as stocks reach to new records, has raised some questions as to the durability of the rally; some strategists said they’d expect to see growth sectors, like tech, leading indexes to higher ground.
Shares of Limited Brands Inc. were up more than 4 percent after the owner of the Victoria’s Secret chain reported same-store sales climbed 3 percent last month.