A trader wearing a Trump hat works on the floor of the New York Stock Exchange (NYSE) in New York, United States, on Wednesday, November 6, 2024.
Bloomberg | Bloomberg | Getty Images
Stocks rose slightly on Thursday, hitting record highs, after a major market rally following Donald Trump's decisive victory in the presidential election. Traders are also awaiting the Federal Reserve's interest rate decision on Thursday afternoon.
the Standard & Poor's 500 It rose by 0.4%. the Nasdaq Composite Advanced 0.9% No Dow Jones Industrial Average Not much has changed. The three major averages hit record intraday highs in morning trading.
Trump's victory in the race for the White House sent blue chips soaring Dao It rose by more than 1,500 points. The S&P 500 jumped 2.53% on its best post-election day in history.
“The results are in, and financial markets can breathe a little easier without worrying about a drawn-out election process,” said Scott Helfstein, head of investment strategy at Global “Investors should remain cautious about over- or under-reacting to geopolitical news. These events can typically cause significant volatility in asset prices, but fundamentals will prevail over time.”
Financial stocks, which rose on Wednesday, cooled slightly on Thursday. shares JPMorgan Chase fell 2% and American Express It fell by 1.7%, impacting the Dow Jones Index.
Shares of major technology companies rose, with apple and Nvidia Each earns more than 1%.
On Thursday, market participants will closely monitor the Federal Reserve's interest rate decision and Chairman Jerome Powell's subsequent press conference. Fed funds futures are currently pricing in a 100% probability that the central bank will cut the cost of borrowing in this rally, according to CME Group's Fed Watch tool.
Richard Flynn, managing director of Charles Schwab in the UK, said: “It is difficult to say whether this easing will continue in the coming months until the dust settles after the US elections and the implications for inflation and currencies become clear.” “But in the short term, we expect today's announcement to provide investors with a modicum of clarity in the outlook after an eventful two weeks in the market.”
Thursday's rate cut will mark the second straight cut after the Fed's drop in September, which was the first since 2020.
