The Dow Jones Industrial Average, NASDAQ and S&P 500 were all up today after Donald Trump’s re-election to a second presidency. Stocks rallied sharply with major benchmarks hitting record highs, as Wall Street is anticipating lower taxes and deregulation.
Tesla, whose CEO Elon Musk is a big Trump backer, saw shares surge 13 percent. Bank shares were up, with JPMorgan Chase climbing 10 percent and Wells Fargo jumping 13 percent.
On the other hand, solar stocks tanked amid fears that Republicans will repeal the Inflation Reduction Act, which helps fund clean energy manufacturing in the U.S.
Trump’s new term won’t begin until January but economists are already speculating on the negative impact of imposing higher tariffs on goods, as per Trump’s promises during his campaign.
In the meanwhile, the Federal Reserve is meeting tomorrow and is expected to implement another interest rate cut. Inflation was a big factor on Trump’s victory, with many voters connecting Kamala Harris to the steep increase in prices during the Biden administration.
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