* Boeing (NYSE: BA ) falls after 737 MAX electrical grounding issue
* U.S. private payrolls increase solidly in April - ADP (NASDAQ: ADP )
* Energy, materials lead sectoral gains on S&P 500
* Indexes up: Dow 0.46%, S&P 0.54%, Nasdaq 0.63% (Adds comments, updates prices to early afternoon)
By Shreyashi Sanyal and Sruthi Shankar
May 5 (Reuters) - Wall Street's main indexes and the Dow hit a record high on Wednesday, as growth stocks bounced from a steep selloff in the previous session and a survey showed private jobs rose in April.
"With stock indexes at or near record highs and coming off a massive rally in the past year, there's a counterintuitive reaction function to the positive earnings reports to sell the news," Art Hogan, chief market strategist at National Securities in New York, wrote in a client note.
"We would continue to recommend a diversified equity allocation with a barbell approach that has growth exposure on one end, and economically sensitive cyclical exposure on the other end."
Defensive utilities .SPLRCU fell 2.2% and real estate .SPLRCR dropped 1.3%, leading sectoral declines.
The ADP National Employment Report showed U.S. private payrolls increased in April as companies rushed to boost production amid a surge in demand, powered by massive government aid and rising vaccinations against COVID-19. more comprehensive reading in the form of the Labor Department's non-farm payrolls data is due on Friday.
Strong economic data and earnings pushed the S&P 500 .SPX and Nasdaq .IXIC indexes to record high last week, but markets have wobbled amid concerns about rising inflation and potentially higher U.S. interest rates.
"Once you have markets hitting the highs we have seen recently, the one thing investors are worried about is rising inflation and what that means for profitability of companies," said Shawn Cruz, senior market strategist at TD Ameritrade.
At 12:10 p.m. ET, the Dow Jones Industrial Average .DJI was up 155.88 points, or 0.46%, at 34,288.91, the S&P 500 .SPX was up 22.33 points, or 0.54%, at 4,186.99 and the Nasdaq Composite .IXIC was up 85.27 points, or 0.63%, at 13,718.77.
Boeing Co BA.N fell 1.6% after U.S. air safety officials asked it to supply fresh analysis and documentation showing 737 MAX subsystems would not be affected by electrical grounding issues. US Inc TMUS.O jumped 4.7% as it raised its full-year postpaid subscriber net additions forecast. Technologies Inc UBER.N is set to report earnings after markets close on Wednesday.
Advancing issues outnumbered decliners by a 1.58-to-1 ratio on the NYSE and by a 1.29-to-1 ratio on the Nasdaq.
The S&P index recorded 97 new 52-week highs and no new low, while the Nasdaq recorded 101 new highs and 40 new lows.
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