US STOCKS-Tech powers S&P 500 to record closing high, Dow now positive for the year

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By Stephen Culp
NEW YORK, Aug 28 (Reuters) - Wall Street advanced on Friday,
with technology stocks driving the S&P 500 to its sixth record
closing high since confirming a bull market on Aug. 18.
The Nasdaq also set an all-time closing high and the
blue-chip Dow is now in positive territory year-to-date.
The S&P 500 is close to wrapping up what appears to be its
best August in 34 years.
All three major U.S. stock indexes ended the week higher
than last Friday's close, marking the fifth consecutive weekly
gains for the S&P and the Nasdaq.
"Tech stocks have driven much of the recovery this year, but
we are seeing breadth expand, which is helping indices like the
Dow Jones Industrial Average," said David Carter, chief
investment officer at Lenox Wealth Advisors in New York.
Stocks extended their gains after a top aide to President
Donald Trump said the president is willing to sign a $1.3
trillion coronavirus relief bill, four weeks after emergency
unemployment benefits expired for millions of Americans.
Economic data released before the bell showed American
consumers, who account for about 70% of the U.S. economy,
increased their spending more than expected in July but the
savings rate, a barometer of consumer uncertainty, remained
elevated well above pre-pandemic levels. The personal consumption expenditures (PCE) core index,
which excludes food and energy, rose at a rate of 1.3%
year-on-year. On Thursday, U.S. Federal Reserve Chair Jerome
Powell unveiled a new monetary strategy adopting an average
annual inflation target of 2%, implying the central bank could
keep key interest rates near zero even if inflation rises above
its target. "(The Fed's) new-found acceptance of higher inflation
suggests the recovery could continue for much longer, as will
near-zero rates," Carter added.
Unofficially, the Dow Jones Industrial Average .DJI rose
160.77 points, or 0.56%, to 28,653.04, the S&P 500 .SPX gained
23.3 points, or 0.67%, to 3,507.85 and the Nasdaq Composite
.IXIC added 70.30 points, or 0.6%, to 11,695.63.
Energy stocks .SPNY ended the session with largest
percentage gain among the major S&P sectors after Hurricane
Laura passed through the Gulf region without causing widespread
damage and oil rigs and refineries began to restart operations.
United Airlines UAL.O and Coca-Cola Co KO.N rose as they
prepared for cost-cutting efforts including furloughs and
voluntary separations. But tech companies continue to benefit from companies
shifting to a work-from-home model.
Business software company Workday Inc WDAY.O jumped after
raising its annual subscription forecast and Dell Technologies
Inc DELL.N rose following its quarterly profit beat.
Walmart Inc WMT.N announced it was joining Microsoft Corp
MSFT.O in its bid for TikTok's U.S. assets from Chinese owner
ByteDance. Nutanix Inc NTNX.O soared after the cloud service provider
beat earnings expectations and Bain Capital invested about $750
million in the company.