Dow Jones closes over 40,000 for the first time ever.

Dow Jones closed above 40,000 for the first time on Friday.

 The index ended at 40,003.59, marking a 0.3% rise for the day.

 Analysts credit renewed confidence in the Fed's inflation strategy for the market's gains.

 John Lynch from Comerica Wealth Management sees the milestone as a testament to economic resilience.

 The Dow's ascent paused in March over inflation concerns.

Major contributors to the Dow's rally include Microsoft and Goldman Sachs.

 Surpassing 40,000 is a significant milestone psychologically, says Chris Zaccarelli.

 Some analysts caution against buying into a market with record valuations.

Concerns include prolonged high inflation and soft retail sales.

New inflation data suggests a more manageable rate, potentially influencing the Fed's decisions.