* Russell 2000, Dow Transport hit record highs
* Healthcare, tech stocks power rally
* Broadcom top stock on S&P following results, forecast
* Indexes up: Dow 0.21 pct, S&P 0.27 pct, Nasdaq 0.5 pct
(Adds details, comments, updates prices)
By Yashaswini Swamynathan
Dec 9 Wall Street's major indexes hit record
highs for the third day in a row on Friday as the post-election
rally got a lift from healthcare and technology stocks.
The "Trump rally" has been roaring ahead since the Nov. 8
vote on bets that President-elect Donald Trump's policies will
boost economic growth and inflation.
The small cap Russell 2000 and the Dow Transport
indexes also hit record intraday highs.
With the rally about to enter its second month, valuations
may come under focus.
The S&P 500 is currently trading at about 17.5 times forward
12-month earnings, above the 10-year median of nearly 15 times,
according to Thomson Reuters StarMine.
"I think if you are a short-term trader, you may be looking
to take profits and you are starting to see a little bit of that
in financials," said Robert Pavlik, chief market strategist at
Boston Private Wealth.
The resilience of the stock market will be put to test after
the Federal Reserve's policy meeting next week, where traders
expect a 94 percent chance of an interest rate increase.
At 11:08 a.m. ET (1608 GMT), the Dow Jones Industrial
Average was up 40.95 points, or 0.21 percent, at
19,655.76, after hitting 19,671.84. This is the 11th all-time
high for the index since the election.
The S&P 500 was up 6.09 points, or 0.27 percent, at
2,252.28, slightly below its high of 2,255.06.
The Nasdaq Composite was up 27.09 points, or 0.5
percent, at 5,444.44, after hitting a high of 5,450.16
Six of the 11 major S&P 500 sectors were higher, led by a
1.03 percent rise in health stocks and a 0.5 percent
rise in technology.
Pfizer rose 2.68 percent and Merck 1.7
percent, giving the biggest boost the healthcare index.
Other pharma stocks helping the index were Bristol-Myers
, which rose 3 percent after raising its quarterly
dividend; and Biogen, which gained 4.1 percent
following positive data on its Alzheimer's drug.
Financials, which have been the best performers in
the rally, were off 0.25 percent.
Broadcom was the top percentage gainer on the S&P,
rising 5.3 percent after the chipmaker reported upbeat
fourth-quarter results and doubled its dividend.
Coca-Cola rose 2.6 percent and was among the top
stocks on the Dow after the company said Muhtar Kent would step
down as chief executive and named Chief Operating Officer James
Quincey as his successor.
Advancing issues outnumbered decliners on the NYSE by 1,427
to 1,361. On the Nasdaq, 1,682 issues rose and 1,015 fell.
The S&P 500 index showed 45 new 52-week highs and no new
lows, while the Nasdaq recorded 288 new highs and five new lows.
(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by
Saumyadeb Chakrabarty and Anil D'Silva)