Dow Sets Record-High Close; Fed Signals Gradual Rate Hikes<br />Delta Air Lines Inc, United Continental Holdings Inc, Alaska Air Group Inc, Spirit Airlines Inc<br />and JetBlue Airways Corp stocks also gained at least 1 percent each.<br />NEW YORK — The Dow rose to a record high close while U. S. stocks kept their upward momentum Wednesday following<br />Federal Reserve Chair Janet Yellen’s congressional testimony to gradually raise interest rates.<br />Stocks held their gains after the Fed’s latest Beige Book report showed<br />that the U. S. economy grew at a "slight to moderate" pace over the last several weeks across all regions.<br />The rate-sensitive S&P 500 real estate index was among the strongest in the benchmark index,<br />posting a 1.3 percent gain, its biggest one-day percentage gain in about four months.<br />1 U. S. airline, American Airlines Group Inc, reported quarterly results that beat expectations and its shares rose 4.2 percent.<br />The dovish sentiment from the Fed at the same time put the S&P 500 financials, which tend<br />to benefit from higher rates, last among sectors, ending with just a gain of 0.1 percent.<br />She said exactly what the market expected and that’s why the market was happy with it," said Chris Zaccarelli,<br />chief investment officer at Cornerstone Financial Partners, based near Charlotte, North Carolina.<br />The Dow Jones Industrial Average rose 123.07 points, or 0.57 percent, to close at 21,532.14, a record high.
