U.S. stocks closed at fresh highs Wednesday for a fifth-straight day as traders continued to bet on a pro-growth agenda under President Donald Trump .

"The market reacts positively when we think we're getting close to" a policy announcement, said Art Hogan, chief market strategist at Wunderlich Securities. "As long as we stay focused on that, the market is going to continue to go higher."

The president continued to tout his economic agenda in a meeting with retail CEOs Wednesday.

The Dow Jones industrial average added 107 points with Procter & Gamble (PG) contributing the most to gains. Shares rose 3.7 percent after CNBC reported late Tuesday, citing sources, that Nelson Peltz's Trian Fund Management has taken a stake in Procter & Gamble and the funds' current position is worth roughly $3.5 billion.

Dow Jones industrial average one-day performance

Official filings released Tuesday also showed several major U.S. hedge fund investors moved significant parts of their portfolios into financial and pharmaceutical stocks.

Health care climbed nearly 1.2 percent Wednesday to lead the S&P 500 higher in the close.

The financials sector closed up 0.7 percent as the third-best performer remains the top gainer in the S&P 500 since election with gains of more than 22 percent. The SPDR S&P Regional Banking ETF (KRE) (NYSE Arca: KRE) hit at an all-time high.

"We're halfway through the first quarter and ... people have to chase performance," said Peter Coleman, head trader at Convergex.

"At the end of the day, the sentiment is you're going to get some tax reform and some infrastructure policy," he said.

On Wednesday, Trump said the administration remains "focused on the issues that will bring economic growth. That's what we're all about."

The SPDR S&P Retail ETF (XRT) (NYSE Arca: XRT) closed up 0.9 percent with the largest market-cap stock, Amazon.com (AMZN), closing three-quarters of a percent higher. Groupon (GRPN) led advancers, surging 23 percent after reporting a strong quarter .

However, shares of H&R Block (HRB) tumbled more than 2 percent to hit a session low after Trump said the company probably wouldn't like his tax reform plan. Shares recovered to close 0.8 percent lower.

Stocks had closed at record highs again on Tuesday, lifted by the financials sector, which received a lift from higher interest rates. The major U.S. stock indexes had traded mostly sideways this year, until Trump said last week the administration will be releasing a "phenomenal" tax plan in the next two-to-three weeks.

"I think what may have started off as short covering, then a short squeeze, has brought in some money off the sidelines into the more cyclical areas of the market," said Robert Pavlik, chief market strategist at Boston Private Wealth.

The initial pop in equities following Trump's election was mostly spurred by hopes of infrastructure spending, deregulation and lower corporate taxes. But the transition into Trump's presidency has been bumpy.

On Monday, Trump's National Security Advisor Michael Flynn resigned from his post after days of speculation about his status within the administration and intense scrutiny into his discussions about Russia prior to Trump's inauguration.

"The market has been surprisingly generous to Trump," said Randy Frederick, vice president of trading and derivatives at Charles Schwab. "If we learn that Trump did something unethical ahead of the election, then that would have some impact. But barring something of that magnitude, I think the market will continue to shrug off those issues."

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