Dow Hits 13,000 First Time

Record Stock Exchange High

The Dow Jones Industrial Average, shot up 70 points in early Wednesday trading to surpass the 13,000 level of the first time. The stock trading reached the record high briefly, and dropped to below 13,000.

The Nasdaq Composite Index was up more than 10 points. The Standard & Poors Stock Index was up eight points, reports NBC News (nbc5.com).

Investors will be watching closely to see whether the Dow will close above the historic 13,000 mark.

The Dow first surpassed the 12,000 mark on October 18. Todays 13,000 mark is a historic high.

Corporate earnings have been strong, performing better that expected. There have several companies that have exceeded stock performance expectations, including: Google, American Express, Caterpillar, Honeywell, McDonald's, Pfizer, and Advanced Micro Devices, reports CNN (money.cnn.com)]

CNN reported on April that the Dow had finished a record week. There was a record set three days in a row, as the earnings kept reaching new highs. By the end of the week, the Blue Chip stock gauge neared the 13,000 mark. The stock averages have been trending upward to reach record number highs.

The earnings marked a broad recovery for Wall Street, after the big February sell off. In February, slumping Shanghai markets triggered a global stock decline. The one day loss of 416 points was the biggest since the reopening of the markets after the September 11 terrorist attacks on New York's Twin Towers.

Stocks rebounded and have reached record earnings. However, stocks will likely be volatile in the coming months. The summer months are expected to be volatile.

Company buyouts have driven the recent rally of the stock market. Private equity firms have been announcing multi -billions dollar deals, as they indulge in a global buying binge. (money.cnn.com). There have been recent buyouts of companies, taking the stocks off the market, as they become privately held. As the large chunks of stock comes off the market, investors look for other companies to invest in on the stock market.