Dow Jones record

Press, 2 July 1986, Page 35

Dow Jones record

NZPA-AP New York The U.S. stock market set record highs on Monday, pushing the Dow Jones industrial average briefly past 1900 for the first time on its way to a record close of 1892.72. Analysts said the market continued to benefit from the increasing belief that the U.S. Federal Reserve would soon reduce its discount rate - the rate it charges on loans to commercial banks. That talk persisted, sending prices higher and interest rates lower in the bond market. Long-term U.S. Government bonds advanced in price by as much as SUSS for every SUSIOOO in face value. But after the rise in stock prices carried the Dow Jones industrials

past 1900, selling pressure quickly intensified. With the long July 4 weekend approaching, Wall Streeters expected activity to taper off before the trading week ends. The Dow Jones average of 30 industrials, up nearly 18 points at its afternoon high, closed with a 7.46 gain at 1892.72. That topped the previous closing peak of 1885.90. Advancing issues outnumbered declines by almost two to one on the New York stock exchange. Volume totalled 135.13 million shares, against 123.81 million in the previous session. The NYSE’s composite index gained 0.79 to 143.97.