Stock Market Today: Dow futures rise as investors see early Trump advantage
Written by Black Hot Fire Network on November 6, 2024
It’s early, but market action as results come in Tuesday night indicates that investors see a path for Donald Trump to return to the White House, a veteran Wall Street strategist told MarketWatch.
“The Dow is up 265 points, so I think the market is anticipating a Trump victory,” Sam Stovall, chief investment strategist at CFRA, said in a phone interview.
The 0.7% gain for Dow futures was accompanied by a 0.6% rise for S&P 500 futures, while the dollar was stronger versus major rivals, including making a strong gain against the Mexican peso. Bitcoin was also higher. The dollar and bitcoin were both seen as benefiting from a Trump victory.
The S&P 500 rallied 1.2% on Tuesday. On average, the S&P 500 has seen a 0.9% rally on presidential election days, rising 80% of the time. In the three days after Election Day, the market has seen an average fall of 0.9% but has gained ground half of the time, Stovall noted. Going back to World War II, the market was up an average of 1.5% from Election Day through the end of the year, rising 65% of the time.
That suggests but doesn’t guarantee that stocks have room to rise, but not necessarily zoom off to the races, once uncertainty over the election clears up, Stovall said.
