(CNBC) — U.S. equities traded higher, reversing earlier weakness following a terror incident near New York City's Times Square.
The Dow Jones industrial average and S&P 500 rose 56 points and 0.3 percent, respectively, posting record closing highs. The Nasdaq composite gained 0.5 percent. Energy and tech stocks were among the best-performing sectors in the S&P 500, rising 0.7 percent and 0.8 percent, respectively.
"For the first time in this recovery, energy stocks appear significantly undervalued. They currently trade at a 32% discount to fair value," said Jim Paulsen, chief investment strategist at The Leuthold Group, in a note. "Maybe it's time to lighten up on some of your popular 2017 winners and reallocate toward a sector deeply out of favor."
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