U.S. stocks closed at a record high on Wednesday and Jid Biden was sworn in as the 46th president – the new commander-in-chief set a record for stock gains between his election and inauguration.
The benchmark S&P 500 index closed 14 per cent higher on opening day than on election day and moved closer to 3,851.85 with a rally of 1.4 per cent. The same lead broke the record set by President Hoover in 1928, when S&P jumped 13.3 percent in the same period, according to Marquette.
Biden will waste some time turning the pages of the Trump era, aides said, and will sign 15 business measures in the afternoon on issues ranging from the Covid-19 epidemic to the climate in the economic sphere. He also decided to push for a 9 91.9 trillion coronavirus-relief package by the Democrat-controlled Congress.
“I’m not sure there’s much in opening day politics but the excitement is expected to exceed a trillion,” said Ross Mayfield, an investment strategy analyst at Baird in Milwaukee, Wisconsin.
The Dow rose 257.86 points, or 0.8 per cent, to a new record high of 31,188.38 on Wednesday. The tech-heavy Nasdaq set its own record, rising nearly 2 percent to 13,457.25 as shares of Netflix jumped 17 percent after it said it would no longer need to borrow billions of dollars to finance its TV shows and movies.
Most of the beneficiaries in about 11 major S&P sectors in the afternoon trading have moved forward with communication services, customer discretion and technology.
Wrapping up results from a major US lender, Morgan Stanley slipped even after posting quarterly profits that blew past estimates of a strong run in its trading business.
LPL “This is the best return of the opening day since Reagan’s second term,” said Ryan Detrick, chief financial strategist at Financial. “Of course, no one here knows where we’re going from here, but with record financial and monetary stimulus, with the reopening at the end of this year, this bullish market continuation could be in the cards.”
Since Donald Trump took office on January 20, 2017, the Dow has grown by about 57% and the S&P 500 by about 68%, compared to a 65% increase in the Dow and a 75% increase in the S&P during the first term. The Obama administration.
With Reuters
.
