US STOCKS-S&P 500, Nasdaq hit record highs as Apple crosses $2 trillion mark

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* S&P 500 touches all-time high for second consecutive
session
* Nasdaq hits record high for third straight day
* Momenta soars after $6.5 bln takeover offer from J&J
* Indexes up: Dow 0.20%, S&P 0.19%, Nasdaq 0.29%

(Updates to midday)
By Medha Singh and Ambar Warrick
Aug 19 (Reuters) - The S&P 500 and the Nasdaq indexes hit
all-time highs on Wednesday as Apple became the first publicly
listed U.S. company to cross $2 trillion in market
capitalization, with strong results from retailers Target and
Lowe's also lifting sentiment.
Already crowned the most valuable listed company in the
world, Apple Inc AAPL.O rose 1.4% to cross the milestone,
while providing the biggest support to the three main indexes.
"For this market to sustain all-time high levels we either
have to see something develop on the fiscal side, or we would
need to see large-cap tech continue to lead," said Yousef
Abbasi, global market strategist at StoneX.
The S&P 500 closed at a record level on Tuesday in what has
been its fastest recovery ever from a bear market. The Nasdaq
recouped its losses from the pandemic selloff two months ago,
but the Dow is still nearly 5% below February's record closing
high.
However, some market experts were skeptical of the new peaks
at a time when volumes are typically weak due to slow summer
trading.
"The record high was met without any real fanfare, in the
sense that we have low volumes, and not really any strong
conviction of the rally ahead," said Peter Cardillo, chief
market economist at Spartan Capital Securities in New York.
While trillions of dollars in fiscal and monetary support
and a rally in tech-related shares have helped the benchmark
surge about 55% from its March lows, the country's economy is
struggling to recover from the pandemic shocks.
Minutes from the Federal Reserve's meeting, set for release
at 2 p.m. ET (1800 GMT), could offer clues into the central
bank's plans for September.
Hopes for another round of fiscal coronavirus aid, after
enhanced unemployment benefits expired last month, have been
driving U.S. stocks higher. But Democrats and Republicans remain
divided on key issues of the bill.
Big-box chain Target Corp TGT.N jumped 12.3% after posting
its best quarterly comparable sales growth while home
improvement chain Lowe's Cos Inc LOW.N also beat estimates for
quarterly results. However, Lowe's shares dipped 0.1%. At 12:43 p.m. ET, the Dow Jones Industrial Average .DJI
was up 56.67 points, or 0.20%, at 27,834.74 and the S&P 500
.SPX was up 6.53 points, or 0.19%, at 3,396.31. The Nasdaq
Composite .IXIC was up 32.93 points, or 0.29%, at 11,243.77.
Johnson & Johnson JNJ.N said it would buy Momenta
Pharmaceuticals Inc MNTA.O for about $6.5 billion to bolster
its portfolio of treatments for autoimmune diseases. Momenta
shares soared 69.4%. Gilead Sciences Inc GILD.O fell 4.1% after the U.S. FDA
refused to approve its experimental treatment for rheumatoid
arthritis in its current form.
Advancing issues outnumbered decliners by a 1.31-to-1 ratio
on the NYSE and by a 1.50-to-1 ratio on the Nasdaq.
The S&P index recorded 25 new 52-week highs and no new low,
while the Nasdaq recorded 62 new highs and 18 new lows.