Wall Street closed the session this Tuesday higher before the results of the elections presidential elections and the Congress of United States, one of the closest dates in recent years.
According to provisional closing data, the Dow Jones Industrial Average gained 2.05% to 27,477.40 points while the technological index Nasdaq it rose 1.85% to 11,160.57 integers. On your side, the expanded index S&P 500 gained 2.13% to 3,380.86 units. Last week Wall Street had its worst week and ended its worst month since March.
This good reaction from Wall Street shows that the optimism of the investors, who bet the elections will be decided without a lengthy process, leading to a swift agreement on a larger fiscal stimulus.
The Democrat Advantage Joe Biden about the republican president Donald Trump Expectations for a decisive outcome and a post-election stimulus package that would deliver on Biden’s promises on infrastructure spending have risen in national opinion polls.
Some analysts said the market’s strong gains also reflected a rebound from last week’s selloff, the S&P 500’s biggest weekly percentage decline in more than seven months.
“It looks like the polls are down, which makes it a bit more difficult for Biden, but the market reaction the way it is now tells me that the market thinks we’re going to get a resolution pretty quickly,” said Randy Frederick, vice president of trading and derivatives at Charles Schwab in Austin, Texas.
“If for some reason we don’t have a clear picture, if the loser is unwilling to give in and this ends up having to go to court, choppy and volatile markets await us for a while.”
On election night 2016, US stock index futures tumbled as it became clear that Trump could win an upset victory against the Democrat. Hillary Clinton. The benchmark S&P 500 has since risen 55% as Trump’s lower tax rates boosted corporate earnings and share buybacks.