In the aftermath of Trump’s latest victory, Wall Street’s singing his praises with a massive market surge. CNBC’s Jim Cramer is pinning this rally on Trump’s anticipated pro-business policies, saying it’s the light at the end of the brutal election tunnel. “The fact that we already know the winner is a huge win for the stock market in itself, which makes it a magnet for new money,” Cramer said, noting the election has finally come to an end, leaving that “maelstrom of hate and fear” in the dust.
The markets didn’t just go up; they skyrocketed. The Dow Jones jumped over 1,500 points, with big players like Tesla seeing a nearly 15% bump. Elon Musk, no stranger to Trump’s circle, seems poised to reap the benefits of having a president who’s not afraid to reward loyalty. And it’s not just Tesla; Alphabet and Amazon, which once carried the antitrust target on their backs under Biden, are seeing green now. As Cramer pointed out, cybersecurity stocks also surged, likely because they know they’ll have to stay one step ahead in a world with stronger national security measures.
Cramer humorously referenced Trump’s longstanding interest in the Dow Jones Industrial Average, saying, “Who knows how high they can go with a president-elect who always told me that the Dow Jones was his version of the Nielsen ratings.” Indeed, Trump’s got a track record for viewing the market as a personal scoreboard, which means we’re likely in for some attention-grabbing highs as his pro-growth policies start rolling out.
Why does all this matter? Because this shift in market sentiment says everything. The CNN Money Fear and Greed index even moved to “Neutral,” which might as well be a love letter to Trump’s win from Wall Street. Investors are anticipating tax policies that encourage growth, something the economy hasn’t seen in years. It’s no surprise the markets are buoyed by the expectation of pro-business policies that could make every sector of the S&P 500 shine. We saw Trump accomplish this before, and now investors are betting he’ll do it again.
Looking back at Trump’s first term, we know this isn’t just wishful thinking. His economic success was no fluke, and this time around, the markets know what’s in store. Democrats can roll their eyes all they want, but there’s no denying the numbers. While they’re off sulking, America’s financial future is heading into overdrive with the kind of leadership that puts business first.
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