Wall Street stocks surged in early trading on Wednesday after US voters sent Donald Trump back to the White House and delivered him a Republican Senate.
Major indices moved into record territory in a rally that reflected both expectations of growth-oriented policies and relief that the United States avoided a protracted fight over the results.
About 45 minutes into trading, the Dow Jones Industrial Average stood at 43,538.34, up 3.1 percent.
The broad-based S&P 500 gained 1.8 percent to 5,888.89, while the tech-rich Nasdaq Composite Index also rose 2.1 percent to 18,819.03.
The gains showed investor hopes about expected tax cuts and regulatory easing more than offset worries about higher tariffs.
The election means Trump “will have a mandate in Congress that will presumably make it easier to enact the policies he would like to see enacted,” said Briefing.com analyst Patrick O’Hare.
“Those policies, which feature lower tax rates and deregulation among the cornerstones, are being heralded by the stock market as pro-growth policies that will be a boon for corporate profit growth.”
Markets are also applauding the clarity of Tuesday’s results, said Prestige Economics’ Jason Schenker.
“A swift and decisive outcome reduces the risks of protracted uncertainty, political violence, recession risks, and even geopolitical spillover that could have accompanied presidential election outcome uncertainty,” he said.
Big winners in the post-election rally included Trump Media & Technology Group, home to the president-elect’s Truth Social platform, as well as Tesla, which is led by Trump mega-supporter Elon Musk.
Trump Media rose 12.3 percent and Tesla piled on 11 percent.
Big financial companies were also skyward bound in expectation of an easing in strict banking rules. JPMorgan Chase won 8.4 percent and Goldman Sachs soared 10.2 percent.
Renewable energy producers and other companies focused on sustainability were under pressure. This group included Enphase Energy, down 14.9 percent, and First solar, down 12.6 percent.
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