US inventory markets closed at document ranges on Friday, capping a monumental week as traders celebrated Donald Trump’s election victory.
It was an enormous week for the market, and the momentum continued even after the Dow Jones Industrial Average (DIA) rose 1,500 factors on Wednesday. The S&P 500 (SPY) briefly surpassed 6,000 factors for the first time, whereas the Dow hit 44,000 factors throughout the day, one other milestone marked by the inclusion of Nvidia (NVDA) as a substitute of Intel in the index.
The Federal Reserve boosts markets
On Thursday, merchants acquired extra excellent news when the Federal Reserve minimize rates of interest once more by 25 foundation factors. Powell confused that the economic system is in a robust place, maintaining open the chance of extra cuts. This led bond markets to regulate their expectations, anticipating increased borrowing prices throughout Trump’s second time period.
At the close of Friday, Stocks and indices notch their greatest weekly achieve of 2024with the S&P 500 and Nasdaq 100 up about 5%.
Bitcoin (BTC), for its half, continued its record-breaking streak on Friday after Trump’s victory, surpassing $76,500.
“The Trump rally is not over, with stocks hitting new all-time highs as investors look to tax cuts, deregulation and ‘Made in America’ policies to drive future gains. Market participants also benefit from the support of a dovish Federal Reserve.
José Torres, senior economist at Interactive Brokers.
Solid results boost optimism
Also helping push stocks to record highs this week were solid quarterly resultswith third quarter reports nearing their end.
So far, 90% of S&P 500 companies have reported earnings results. According to Fundstrat data, 77% of those companies beat earnings estimates by an average of 6%, while 59% beat revenue estimates by an average of 6%.
Investors will focus their attention on inflation data, with the release of the October Consumer Price Index on Wednesday and the October Producer Price Index on Thursday.
Major US indices at today’s close:
- S&P 500 (SPY): 5,995.54, an increase of 0.38%.
- Dow Jones Industrial Average (DAY): 43,988.99, an increase of 0.59% (+259.65 points).
- Nasdaq Composite (QQQ): 19,286.78, an increase of 0.09%.
Other events of the day:
- Polymarket’s “whale” made $85 million from its bet on Trump’s election, almost double what was originally thought.
- Tesla (TSLA) rose 7%, reaching a market cap of $1 trillion on Friday for the first time since April 2022.
- Bearish traders in clean energy stocks have gained $1.3 billion since Trump’s victory.
- CEOs around the world are already analyzing the potential impact of tariffs on their businesses.
In commodities, bonds and cryptocurrencies:
- West Texas Intermediate Crude Oil: It fell 2.52%, settling at USD 70.54 per barrel.
- Brent: The worldwide benchmark fell 2.09%, closing at $74.05 per barrel.
- Gold: It fell 0.40% to $2,695.10 per ounce.
- 10-Year Treasury Yield: It fell 3 foundation factors to 4.313%.
- Bitcoin (BTC): It continued its rise, closing at $76,636.
