On February 1, Dow Jones index touched the level of 14,000 points for the first time since 2007. By 20:20 (GMT +4) the index hit 14,004 level but then sled to 13,993. Nevertheless, it grew 0.96% since the session began.
Investors are purchasing shares of the U.S. companies as updates to consumer sentiment and manufacturing PMI are better than expected. Despite discouraging news about first quarter drop in GDP since 2009, Dow Jones managed to climb to the maximum of 2007. According to the preliminary data, the U.S. economy contracted 0.1% in the 4th quarter of 2012.
It was reported earlier that January was an exceptionally successful month for the US stock market. Thus, S&P 500 broad index lifted 5.1% to the highest reading for the last 15 months. Given that, the investors were purchasing shares not only in the USA but also on all the major stock markets. For example, Russian MICEX grew almost 5% for the month.
According to Reuters, 69.3% out of 231 companies of S&P index demonstrated better than expected results. Such statistics proves that the US securities market was undervalued.
