Dow Soars to Record Heights Amid Strong Retail and Semiconductor Gains

The Dow Jones Industrial Average reached new highs amidst robust U.S. retail sales and an optimistic forecast from Taiwan Semiconductor Manufacturing Co. The performance of the chip sector buoyed investor sentiment despite mixed performances across other Wall Street indices such as the S&P 500 and Nasdaq Composite.

The Dow Jones Industrial Average achieved its fourth record close within five sessions on Thursday, buoyed by higher-than-expected U.S. retail sales and a positive outlook from Taiwan Semiconductor Manufacturing Co. This held investor sentiment high, carrying stocks, particularly in the chip sector, to new heights.

With market forecasts exceeded by TSMC, the chipmaker's shares spiked by 9.8%, boosting the Philadelphia SE Semiconductor index by 1%. The optimism extended to key players like Nvidia, reflecting the sector's strength amidst a favorable economic climate underscored by 0.4% growth in September's retail sales.

Despite gains, other sectors saw mixed results. Small-cap indexes and sectors sensitive to rate changes such as utilities and real estate recorded declines, while the overall market sentiment supported a gradual advance. The rise in U.S. Treasury yields presents an unusual dynamic, highlighting the complexity of current economic conditions.

(With inputs from agencies.)