NEW YORK (TheStreet) -- The Dow Jones Industrial Average broke through 18,000 on Tuesday but stocks were mixed with the S&P 500 boosted by the revision of third-quarter U.S. economic growth to 5.0% and Nasdaq pulled lower by biopharmaceutical stocks.
The S&P 500 added 0.19% on Tuesday and the Dow climbed 0.45% to 18,036.
"18,000 is just kind of a nice, round number but realistically it doesn't really mean a whole lot," said Hennessy Funds' Brian Peery in a call. "We certainly think over the long haul that the market is heading higher. There are going to be some bumps in the road along the way and some increased volatility but over the long haul you can use any kind of a dip or a correction as a great buying opportunity."
Pharmaceutical stocks dragged on the Nasdaq, which was down 0.21%. Gilead Sciences (GILD) , Regeneron Pharmaceuticals (REGN) and Achillion Pharmaceuticals (ACHN) were all trading lower after Express Scripts (ESRX) announced an exclusive deal to cover only AbbVie's (ABBV) newly approved hepatitis C treatment.
A new estimate of third-quarter GDP came in at 5%, its highest in 11 years. The previous estimate had put GDP at 3.9%. However, a separate reading on factory orders showed unexpected weakness. Durable goods orders slipped 0.7% in November to $242.3 billion, below an expected 3% increase.
Consumer sentiment surged to 93.8 in the first two weeks of December, according to the Reuters/University of Michigan Sentiment Index. Cheaper gasoline prices have helped to fuel discretionary spending in other parts of the consumer economy. Economists had expected a reading of 93.
Personal income figures missed estimates, up 0.4% in November compared to an estimated 0.5% increase. Income data has been a key concern for the Federal Reserve in determining when to raise rates next year. While the broad labor market has exhibited signs of tightening, wage growth has shown continued weakness.
New home sales also missed analysts' estimates, falling 1.6% in November to 438,000, its slowest rate in four months. Consensus was for an increase of 460,000 over the month.
Major European markets weren't having noticeable reaction to Greece failing to elect a president in a second round of voting, though Athens' ATG share index was more than 2% lower. Greek Prime Minister Antonis Samaras will hold a final round of voting next week.
U.K. GDP came in at a rate of 0.7% in the third quarter, while the year-over-year rate was downwardly revised to 2.5% from 3% on higher imports. London's FTSE was up 0.23%.
Crude oil prices were gaining with West Texas Intermediate crude adding 1.8% to $56.23 a barrel. Arab OPEC producers said they expect global oil to rebound to between $70 and $80 a barrel by end-2015 as demand picks up in line with a global economic recovery.
Walgreen (WAG) shares jumped 2.1% after fiscal first-quarter profit beat estimates and pharmacy sales gained 9%.
Starbucks (SBUX) was gaining 1.8% after Piper Jaffray named the coffee chain its Top 2015 Pick. Avon Products (AVP) shares were 1.3% lower after BMO Capital Markets downgraded the stock to "underperform" and set a $7 price target.
Keurig (GMCR) shares were tumbling more than 2% after the company recalled 6.6 million of its coffee makers.
NQ Mobile (NQ) spiked 19% after announcing a buyback program worth $80 million. The 12-month program can repurchase one-quarter of outstanding shares at current levels.
Chesapeake Energy (CHK) jumped more than 7% after closing the sale of a bundle of properties to Southwestern Energy (SWN) for just under $5 billion. The company's board separately authorized a $1 billion stock buyback program.
--Written by Keris Alison Lahiff in New York.