Bitcoin, Stocks Rally To New High; Cisco, Top Dow Names In Reach

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Stocks rallied to all-time highs Tuesday after a Senate panel approved the GOP tax plan and Cisco ( CSCO ), JPMorgan ( JPM ) and Verizon ( VZ ) boosted the Dow. Bitcoin also vaulted to a record high.

[ibd-display-video id=2969025 width=50 float=left autostart=true] SPDR Dow Jones Industrial Average ( DIA ) rose 1.1%, SPDR S&P 500 ( SPY ) gained 1%, and PowerShares QQQ Trust (QQQ) added 0.3%. Emerging markets rebounded as iShares MSCI Emerging Markets (EEM) scored a 0.7% gain.

Cisco Systems was one of the biggest Dow winners with a 2.3% advance; JPMorgan led with a 3.5% jump and Verizon rose 2.4%.

Homebuilders, retailers and banks led the upside among sector funds in the stock market today . SPDR S&P Regional Banking (KRE) and SPDR S&P Bank (KBE) rallied 3.4% and 3.2%, respectively, as both bounced off support at their 50-day lines. SPDR S&P Retail (XRT) rose 3.1%.

But gold miners, real estate and semiconductors lagged.

Bitcoin Investment Trust (GBTC) gapped up and surged as much as 21% to a second straight record high as the price of bitcoin topped $10,000 . Shares pared their gains to 11%, still a fresh closing high. Bitcoin was trading around $9,950.

Dow Stocks Rising

If you didn't catch PowerShares Dynamic Large Cap Value (PWV) at its September breakout, you may have another chance to buy Cisco, Intel (INTC), Wal-Mart (WMT) and other outperforming stocks that the ETF holds.

Shares of the $1.5 billion fund are still in buy range from a Nov. 16 bounce off the 50-day moving average . They pulled back to the support line after a 4% advance from the September breakout from a flat base .

The 12-year-old fund, which tracks the Dynamic Large Cap Value Intellidex Index, has gathered $1.5 billion in assets. The index comprises stocks that are attractive based on factors including value, momentum and quality.

PWV has 50 stocks in its portfolio. Financials accounted for the biggest sector weighting as of Nov. 24 at 30.5%, information technology 17%, industrial 13%, health care 12% and consumer staples about 11%. The top holdings read like a who's who of Dow Jones industrial average stocks, including Intel, Wal-Mart, Cisco, JPMorgan and Disney (DIS).

Among those, Wal-Mart leads with a 40% year-to-date gain through Monday. Intel and Cisco weigh in with respective gains of 23% and 22%. Wal-Mart has been trading near record highs since an 11% gap-up move Nov. 16 on an earnings beat and upbeat holiday-quarter guidance . Wal-Mart, Intel and Cisco are all extended from their last buy points.

IBD'S TAKE:On the lookout for ETF ideas that may be worth a closer examination? Check out IBD's weekly ETF Leaders column for a featured fund and a list of highly rated ETFs.

PWV has returned 14.2% year-to-date through Nov. 24, according to Morningstar Direct, trailing the S&P 500's 18.4% gain. Its average annual return over the past three and five years slightly lag the benchmark index. But its 10-year return outpaces the S&P 500 at 9.2% vs. 8.4%.

The ETF has a 12-month dividend yield of 1.78% and carries a 0.56% expense ratio.


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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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