Donald Trump won the 2024 U.S. Presidential Election
While markets pulled back the session before Election Day, things quickly turned around as voters hit the polls, with Wall Street turning in big gains on Tuesday. Following the election, the Dow Jones Industrial Average (DJI) surged more than 1,500 points, hitting a new record high alongside the Nasdaq Composite (IXIC) and S&P 500 Index (SPX). The voters elected former President Donald Trump to a second non-consecutive term, while Republicans also took control of the Senate.
The major indexes went on to score even more record highs following the Fed’s interest rate cut and subsequent commentary from Chair Jerome Powell. To close out the week, the Dow and SPX are heading for the best week since November 2023, and the former briefly cleared the 44,000 level for the first time ever.
Stocks to Watch Moving Forward
A new month is here, and we’ve got some historical quantitative data to break down concerning the best and worst stocks to own in November. Starting with the good, Broadcom (AVGO) looks like the best semiconductor stock to own this month. The worst of list, meanwhile, features three oil stocks at the top, followed up by a tobacco stock to avoid.
Plus, now that the election is over, it looks like a good time to revisit some sectors that could see a shakeup with the new incoming administration. For example, solar stocks staged a steep selloff following the election results, while Bitcoin (BTC) surged and boosted at least two crypto-adjected equities.
More Earnings Reports to Unpack
Quarterly reports are still pouring in, even as they take a backseat to more compelling market drivers. Super Micro Computer (SMCI) plunged after its disappointing fiscal first-quarter report featured current-quarter earnings and a sales forecast that missed the mark. Elsewhere, Palantir Technologies’ (PLTR) surged after earnings, and announced a partnership with Amazon (AMZN) later in the week. CVS Health (CVS) showed a mixed third quarter due to higher medical costs in its first earnings report with newly appointed CEO David Joyner, while semiconductor companies Arm (ARM) and Qualcomm (QCOM) both had stellar quarters.
Key Inflation Readings Ahead
Election day has come and gone, but there’s still plenty for investors to digest ahead. Notably, next week features key consumer price index (CPI) and producer price index (PPI) readings for October, and earnings from Home Depot (HD), Plug Power (PLUG), Walt Disney (DIS), and others.
In the meantime, Schaeffer’s Senior Quantitative Analyst Rocky White breaks down the new changes on the Dow. Plus, our own Senior V.P. of Research Todd Salamone shares thoughts on volatility surrounding the election and the latest Fed decision.