Dow jumps to record close after strong GDP data

NEW YORK, Nov. 29 (Xinhua) -- U.S. stocks closed mixed on Wednesday, with the Dow Jones Industrial Average notching record high, as investors cheered over the country's strong economic growth.

The Dow Jones Industrial Average increased 103.97 points, or 0.44 percent, to 23,940.68. The S&P 500 lost 0.97 points, or 0.04 percent, to 2,626.07. The Nasdaq Composite Index was down 88.02 points, or 1.27 percent, to 6,824.34.

U.S. real gross domestic product (GDP) increased at an annual rate of 3.3 percent in the third quarter of 2017, according to the "second" estimate released by the Commence Department Wednesday.

The strong economic growth is likely to bolster market expectations for another rate hike by the Fed in December.

U.S. Federal Reserve Chair Janet Yellen said on Wednesday that it is appropriate for the central bank to continue gradual interest rate hikes on the expectation that the economy and job market would remain strong.

"We continue to expect that gradual increases in the federal funds rate will be appropriate to sustain a healthy labor market and stabilize inflation around the FOMC's (Federal Open Market Committee) 2 percent objective," said Yellen in remarks before the U.S. Congress Joint Economic Committee.

The U.S. Senate Budget Committee on Tuesday approved the Republican tax bill to overhaul the U.S. tax code, sending it to the Senate floor for a vote later this week.

U.S. equities closed sharply higher on Tuesday, with all three major indices hitting record highs, boosted by hopes the Congress would be able to pass the tax reform plan.

The Republican-led Senate panel approved the legislation with a vote of 12-11, along the party lines. The full Senate could vote on the tax bill as early as Thursday, according to local media.

Meanwhile, investors still digested Jerome Powell's confirmation hearing to become the next Federal Reserve chair.

Powell said on Tuesday that the current regulatory rules on financial institutions are tough enough and he supported easing regulatory burdens on some institutions.

"I think they're tough enough," said Powell in his confirmation hearing at the Senate Banking Committee when answering question whether any regulatory rules on financial institutions should be made tougher.

Shares of major banks continued to rally after Powell's remarks on Wednesday. Enditem