‘Trump Trade’: Election news leads to biggest 1-day stock market gain in 2 years
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(NEW YORK) — The “Trump Trade” was in overdrive Wednesday, making it one for the history books on Wall Street with record finishes for all three major stock indices.
The Dow Jones Industrial Average rocketed 3.6%, its biggest one day jump since November 2022. The S&P 500 shot up 2.5% while the Nasdaq climbed nearly 3%.
The biggest winners were companies and sectors that investors are betting will benefit from President-elect Trump’s policies.
Bank stocks, including JP Morgan Chase (JPM), Wells Fargo (WFC), and Bank of America (BAC) rallied on the promise of lower taxes and less regulation. The small-cap Russell 2000 Index (RUT), which includes some regional banks, soared nearly 6%.
It was the biggest surge for the U.S. dollar since 2020, and Carl Icahn, the activist investor and billionaire, said it will lead to less regulation and more mergers and acquisition.
Elon Musk was perhaps the day’s biggest winner. Shares of his Tesla Corporation (TSLA) rocketed nearly 15%. The world’s wealthiest person has been a staunch Trump proponent, donating more than $130 million toward Trump’s election efforts. In his victory speech, the president-elect referred to Musk as a “super genius” and has promised him a role in his administration.
“The biggest positive from a Trump win would be for Tesla and Musk,” wrote Dan Ives, Senior Equity Research Analyst at Wedbush. “We believe a Trump presidency would be an overall negative for the EV industry as likely the EV rebates/tax incentives get pulled. However, for Tesla we see this as a huge positive. Tesla has the scale and scope that is unmatched in the EV industry and this dynamic could give Musk and Tesla a clear competitive advantage in a non-EV subsidy environment, coupled by likely higher China tariffs that would continue to push away cheaper Chinese EV players from flooding the US market,” Ives wrote in a research note.
The cryptocurrency market also cheered Trump’s return to the White House. Bitcoin (BTCUSD) notched a record close, climbing above $75,000. Trump has said he wants the U.S. to be the “crypto capital of the planet” and plans to create a “strategic reserve of bitcoin.”
In September, he even launched his own crypto platform, World Liberty Financial, a new venture with family members to trade cryptocurrencies.
Donald Trump saw his personal wealth balloon during Wednesday’s stock market rally, at least on paper. Shares of his Trump Media and Technology Group (DJT), the parent company of his social media platform Truth Social, soared more than 30% at the market’s open but pulled back considerably to finish just 6% higher. Still, that gave the company a market cap of about $7.2 billion, with Trump’s majority stake worth about $4.1 billion.
(WASHINGTON) — While tens of millions of early votes have already been cast, there are still millions of Americans who will be heading to the polls on Election Day. Experts predict the 2024 election will be one of the closest in history, with several key states still in contention that could determine the next president.
Vice President Kamala Harris and former President Donald Trump have been actively campaigning over the past few months in several swing states. This year, seven swing states are in intense competition: Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania and Wisconsin.
To win the White House, a candidate needs 270 electoral votes, different combinations from the collective total of 93 electoral votes from these swing states will ultimately determine the winner.
Election Day is Tuesday, Nov. 5, 2024, with polling hours varying by state law. Here’s an update on three of the seven swing states in the final hours leading up to the election.
In Pennsylvania, young voters ready to make an impact
Pennsylvania, with 19 electoral college votes, is considered the key to the election and many believe the winner of Pennsylvania will become the next president.
In this battleground state, ABC News spoke with young voters who believe their vote could significantly impact this election. These voters have observed Harris and Trump competing often in their state.
Both candidates held many stops and rallies on Monday.
Two first-time voters, 18-year-old Isaac Gourley and Caleb Root, will be at one of Pennsylvania’s thousands of polling places. They attend Redbank Valley High School in Western Pennsylvania.
They have been listening to both presidential candidates and will decide their vote based on their priorities.
“What stuck out to me was just their — kind of like international — policy,” Gourley said. “You know, how we talk to other people.”
According to a Tufts University study, about 50% of registered voters 18-29-year-olds voted in the 2020 election — an all-time high. In Pennsylvania, they turned out at a rate even higher than the national average: 54%.
“I pay attention a lot to the economy,” Root said.
The rules for counting ballots in Pennsylvania indicate that it may take days to determine the winner. Mailed-in votes cannot be counted until polls open at 7 a.m. on Election Day.
Helene won’t stop voters in North Carolina
Despite initial concerns, voter turnout rates in the 25 North Carolina counties hardest hit by Hurricane Helene surpassed statewide early voting averages leading up to Election Day, with more than 760,000 total ballots cast.
North Carolina and its 16 electoral votes are especially crucial in the razor-thin contest between Harris and Trump. According to the latest NYT/Siena College polling, Harris has a narrow lead over Trump in a race that remains too close to call.
In this historic election that hinges on voter turnout, both campaigns are targeting women, the country’s largest voting bloc.
An ABC News/Ipsos poll shows a clear gender gap between voters. Trump is up 5 points with male voters, while Harris is up by 11 points with women.
During early voting, young women on the North Carolina State University campus marched to the polls with a pro-choice message, inviting men to join them.
“I’m really scared that I feel like I don’t know the rights I have as a woman,” Lizzie Pascal, a student there, said.
Harris leads suburban women voters nationally by 15 points overall; however, Trump has a four-point advantage among white women, according to the latest ABC News/Ipsos poll. That demographic is widely believed to have contributed to his victory in 2016.
Sandy Joiner, president of the Western Wake County Republican Club, has worked to canvass with Republican women competing for state and local seats.
“We have knocked on around 12,000 doors in our area,” Joiner said. “And we have, we have knocked all the doors, so we don’t have any doors left. So what we’re doing now is we’re knocking doors in areas that may not have been reached.”
The same goals drive these women, whether they are encouraging voters to turn out in storm zones, suburbs or on college campuses. Women are likely to hold the key to determining who ascends to the White House when all the votes are counted on and after election night.
How Michigan is a must-win for both Trump and Harris
Experts say Michigan is a must-win for both sides, which is why both candidates campaigned extensively across the Great Lakes.
Once part of the Democrats’ so-called “blue wall,” polling shows that Michigan — and its 15 electoral votes — is a tossup.
While early votes show an increase in women and young voters in college towns, one of the groups that was once solidly Democratic is no longer true blue: union members.
ABC News spoke with Douglas King, an autoworker and UAW member for nearly 30 years. He says the economy, like for so many other Americans, is his top issue.
“I was raised to believe that the Democrats are the party of the working people,” King said. “And maybe at one time they were. I don’t feel that way now.”
Many union leadership endorsed Harris.
In this tightly contested race, the more than 500,000 union workers are crucial for Harris; however, some of them appear to be moving away from voting for the Democratic Party. King, who voted for Barack Obama twice, has decided to support Trump for president for the third time.
“People are afraid to say they’re voting for Trump because Trump supporters are put in a box, that they’re these hateful, racist people that are homophobic, and it’s just not true,” King said. “Trump has a lot of support on the plant floor.”
There are cracks in the old coalition that has consistently voted for Democrats for the past 30 years. However, Trump broke through the blue wall in 2016 by narrowly defeating Hillary Clinton by roughly 10,000 votes in Michigan.
