The second week of 2012 is keeping the year's hot streak alive as one macro and one company-specific news item helped propel all three major indices up along with gold and oil.
On the macro side, consumer credit expanded 10% in November, its largest monthly climb in a decade. At this point in the recovery, if consumers are tapping their credit cards then they are likely feeling more bullish about their and the overall economy's prospects. Dried-up consumer demand caused by an increased personal savings rate has been among the factors for the slow pace of recovery.
Usually company-specific news doesn't move the overall market, but when that company is a large commodity producer leading off earnings season, everyone takes notice. Alcoa
With those stories in mind, the Dow Jones Industrial Average
Inside the Dow, it was no surprise that given its relatively positive quarter, Alcoa was the Dow's biggest riser, closing up 2.89% for the day. Surging consumer credit use is always good news for banks, so it is no surprise that Bank of America
The best-performing stock of all belonged to the Nasdaq, as small biotech maker Inhibitex
All told, it appears the market is continuing a positive trend to kick off the year. It's worth watching with a close eye to see how the market closes this week and this month. And if January ends up, we can hope that past trends of its foreshadowing a strong annual performance remain true.
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David Williamson holds no position in any company mentioned. Check out his holdings and a short bio. The Motley Fool owns shares of Bank of America. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.