US STOCKS-S&P 500, Nasdaq hit record highs as Apple tops $2 trillion in market value

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* S&P 500 sets intraday 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 0.35%, S&P 0.20%, Nasdaq 0.14%

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By Medha Singh and Ambar Warrick
Aug 19 (Reuters) - The S&P 500 and 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 1.3% 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 hit a record high 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.
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 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 12.5% and was among
the top boosts to the benchmark index after posting its best
quarterly comparable sales growth and online revenue that nearly
tripled. Home improvement chain Lowe's Cos Inc LOW.N rose 0.3%
after beating estimates for quarterly same-store sales.
Off-price retailer TJX Cos Inc TJX.N , on the other hand,
slumped 6.9% after posting a bigger-than-expected quarterly
loss. At 10:52 a.m. ET, the Dow Jones Industrial Average .DJI
was up 98.39 points, or 0.35%, at 27,876.46 and the S&P 500
.SPX was up 6.69 points, or 0.20%, at 3,396.47. The Nasdaq
Composite .IXIC was up 16.20 points, or 0.14%, at 11,227.04.
The market's focus is also expected to shift to U.S.
presidential elections, which is about 11 weeks away. Democrats
on Tuesday formally nominated Joe Biden for president. The
Republican National Convention is slated for next week.
Johnson & Johnson JNJ.N said it would buy Momenta
Pharmaceuticals Inc MNTA.O for about $6.5 billion in cash to
bolster its portfolio of treatments for autoimmune diseases.
Momenta shares soared 69.2%. Gilead Sciences Inc GILD.O fell 4.1% after the U.S. Food
and Drug Administration refused to approve its experimental
treatment for rheumatoid arthritis in its current form.
Advancing issues outnumbered decliners by a 1.14-to-1 ratio
on the NYSE and by a 1.14-to-1 ratio on the Nasdaq.
The S&P index recorded 22 new 52-week highs and no new low,
while the Nasdaq recorded 51 new highs and 13 new lows.