Google Hits New Record High After Launching Streaming Music Service

Category: Technology / May 15, 2013 7:56PM EDT


U.S. stocks rose on Wednesday (May 15), with the Dow and S&P 500 hitting new all-time highs in a broad market rally as the recent upward momentum persisted.

The Nasdaq also hit its highest level since November 2000 although gains were limited by a steep decline in Apple. Shares of the tech giant sold off in late afternoon trading after filings from hedge funds showed that the one-time Wall Street darling was dropped by more famous hedge fund mangers in the first quarter.

But shares of Apple's rival Google shot up to a new record high at $916.38 (USD) on news that it has adopted a streaming music business model.

The day's gains were broad, with nine of the S&P 500's 10 sectors ending higher. Among the top gainers were the consumer staples sector index, up 1 percent, and the financial sector, also up 1 percent. The only decliner was the energy sector index, down 0.4 percent.

The overall market showed further signs of strength despite the S&P 500 rising to a record for the fourth session in a row. The broad market index has recorded 15 new closing highs this year.

An options gauge looking at the level of anxiety showed signs that investors are placing optimistic wagers on the stock market, positioning for the current run-up to extend for the next three months.

Equities have rallied in recent weeks as investors bet that central bank stimulus measures will keep supporting market gains.

Such policies have helped spur advances of about 15 percent in major U.S. indexes this year despite data showing some signs of lackluster growth.

The Dow Jones industrial average rose 60.44 points, or 0.40 percent, to a record 15,275.69 at the close. The Standard & Poor's 500 Index added 8.44 points, or 0.51 percent, to finish at a record 1,658.78. The Nasdaq Composite Index gained 9.01 points, or 0.26 percent, to close at 3,471.62.