Nearly four years after the stock market tumbled to its lowest level of the Great Recession, the Dow Jones Industrial Average has recouped all those losses, and then some. On Tuesday, the Dow briefly crossed the 14,300 threshold before pulling back.
The last time the Dow reached this rarefied air was in October 2007, just before the mortgage meltdown and financial crisis sent the market into freefall, with the Dow finally settling at 6,547 on March 9, 2009.
CNBC’S Mandy Drury says among the best performing stocks since October 2007 are Home Depot, IBM, and McDonald’s. These stocks are up 108%, 74% and 67% respectively. The worst performing? Alcoa (-79%), Bank of America (-78%) and Hewlett-Packard (-61%).
As investors stop to catch their breath, there are concerns the bull market could run out of steam. “People are worried about getting burned. People are wary about all jumping on the bandwagon just because we’re at a record high,” said Drury. She also says a little pullback in the market could actually be a good thing. That would allow people who sat on the sidelines during the rally to get back in and buy stocks at a cheaper price.