The Dow jumped 330.36 points, or 1.16%, to end the day at 28,868.80. The S&P 500 gained 0.84% to close at 3,257.85. The Nasdaq Composite advanced 1.33% to 9,092.19. The major averages notched record highs, led by semiconductor stocks.
It was the first trading day of the new year and Wall Street picked up right where it left off in 2019. Chipmakers, which were among the best performers last year, outperformed once again on Thursday. Overseas equities also rose after China cut its cash reserve requirements for banks, a move intended to further spur economic growth. To be sure, the market could be in for a tough ride in the first part of 2020 as the corporate earnings outlook did not improve between November and December.
Advanced Micro Devices climbed 7.06% to lead the semiconductor space higher. Other chipmakers such as Micron and Intel rose 2.99% and 1.65%, respectively. Meanwhile, Apple was among the best-performing stocks in the Dow, gaining 2.28%.