US stocks surge to record highs as Trump returns to presidency

NEW YORK – US stocks soared to record highs on Nov 6 after Republican Donald Trump won the 2024 US presidential election in a stunning comeback four years after he was voted out of the White House.

The Dow Industrials, S&P 500 and Nasdaq Composite all hit record highs with investors expecting lower taxes, deregulation and a US president who is not shy to weigh in on everything from the stock market to the dollar, although fresh tariffs could bring challenges in the form of a higher deficit and inflation.

The Republican’s win powered a rally in so-called “Trump trades,” sending US Treasury yields sharply higher. Bitcoin hit a record high of over US$75,000 and the dollar was on track for its biggest one-day percentage gain since September 2022.

Polls indicated a very tight race, with some concern the process could be drawn out before a victor was declared.

“The fact that we got a clean result, there’s not going to be any messy contesting or court cases or whatever it might have been, is a relief to markets,” said Mr Ross Mayfield, investment strategy analyst at Baird in Louisville, Kentucky.

“So that’s kind of like super-charging the classic Trump trade that we saw in 2016 as well.”

The Dow Jones Industrial Average rose 1,450.11 points, or 3.43 per cent, to 43,671.12, the S&P 500 advanced 138.27 points, or 2.39 per cent, to 5,920.87 and the Nasdaq Composite gained 514.26 points, or 2.78 per cent, at 18,953.43.

Both the Dow and S&P 500 were on track for their biggest one-day percentage gains since November 2022, with the Nasdaq poised for its biggest daily climb since August.

Financials, up nearly 6 per cent, were the best performing of the 11 major S&P 500 sectors. Banks, expected to benefit from loosening regulations

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