Impressive third-quarter corporate earnings reports have pushed the Dow Jones Industrial Average to record highs lately. In addition, Democrats are girding to finalize their infrastructure bill this week, which is boosting investors’ optimism. Hence, we think Dow Jones stocks Microsoft (MSFT), UnitedHealth Group (UNH), NIKE (NKE), and Merck & Co. (MRK), which delivered stellar performances in October, could be ideal additions to one’s watchlist now. Read on.Despite concerns over the spread of the COVID-19 Delta variant and supply chain issues, the benchmark equity indices have been performing well, driven mainly by healthy corporate earnings. The Dow Jones Industrial Average (DJIA) surged nearly 6% in October, registering its best month since March. The DJIA climbed 140 points on Tuesday, trading above the 36,000 mark for the first time, indicating that the market’s bullish sentiment is far from over. "Earnings are healthy and so are the outlooks. There is strong consumer demand as companies work through supply chain constraints," said Larry Adam, chief investment officer with Raymond James.
In addition, Democrats expect to finalize a $1.75 trillion human infrastructure spending deal this week. The bill’s passage could potentially boost the overall economy.
Given this backdrop, last month’s best-performing DJIA stocks, Microsoft Corporation (NASDAQ:MSFT), UnitedHealth Group Incorporated (NYSE:UNH), NIKE, Inc. (NKE), and Merck & Co., Inc. (MRK), could be worthy additions to one’s watchlist.