Dow Jones Industrial Average passes 40,000 as Wall Street cheers slowing inflation

On Thursday, the Dow Jones Industrial Average topped 40,000 points for the first time in history as Wall Street cheered the prospect of slower inflation and lower interest rates.

The iconic stock index rose about 111 points to about 40,020 points just before 11 a.m. Thursday. The Dow was founded in 1895 and includes the 30 most famous U.S. companies as determined by the S&P Dow Jones Indices.

The Dow Jones Industrial Average is up 6% since the start of 2024, potentially adding more fuel to the stock market as investors wait for the Federal Reserve to cut interest rates. Robust employment growth and rising inflation have kept the Fed from cutting interest rates, but new Labor Department data show that inflation is slowing for the first time since last year.

On Wednesday, the Dow, Nasdaq Composite, and S&P 500 index all closed at record highs.

Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.