The Dow surged on Monday to build on the roaring post-election rally, but tech struggled as the “Trump trade” took the spotlight in markets in the run-up to fresh inflation data.
The Dow Jones Industrial Average (^DJI) led the way higher, up over 400 points, or about 1%, while the S&P 500 (^GSPC) moved up 0.1%. Both indexes are coming off their best week of the year, capped by record highs.
Meanwhile, the tech-heavy Nasdaq Composite (^IXIC) slipped 0.1% as Nvidia (NVDA), Apple (AAPL), and Meta (META) lagged.
Markets opened on Veterans Day with stocks at all-time highs thanks in large part to expectations for lower corporate taxes and deregulation from President-elect Donald Trump. The Federal Reserve’s latest interest rate cut also buoyed the mood.
Bitcoin (BTC-USD) hit a record high above $83,000 amid high hopes for a crypto-friendly Trump administration and Congress. Dogecoin (DOGE-USD) and other smaller digital currencies also gained as traders bet on Trump’s promise to make the US a leading light in crypto.
That optimism also helped push crypto-related stocks higher, building on sharp gains booked since the election. Trading platform provider Coinbase (COIN) rose over 13% early Monday, while shares in peer Robinhood (HOOD) put on over 8%.
Tesla (TSLA) stock — another “Trump trade” hot spot — continued to climb, up over 8%. The electric vehicle maker’s stock hit its highest close in over two years on Friday, topping $1 trillion in market value amid optimism over CEO Elon Musk’s relationship with the incoming president.
One worry is that Trump’s proposed tariffs could feed through into higher inflation, prompting the Fed to scale back on rate cuts. Minneapolis Fed President Neel Kashkari said on Sunday that if there is an escalating “tit-for-tat” reaction by other countries, policymakers will “have to wait and see.”
Traders now see a 65% chance that the Fed lowers rates by another quarter percentage point in December, per the CME FedWatch Tool. A week ago, before the presidential election, the odds stood at almost 80%.
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26 mins ago
The House may soon belong to the GOP. Here’s what party leaders say they’ll do first.
The House of Representatives is highly likely to be under GOP rule next year, cementing Republicans’ unified control of power across Washington.
The party currently needs just four seats to maintain its lower chamber majority, and current vote totals show Republicans ahead in eight of the 18 still undecided contests, according to the latest Associated Press tabulations.
Bitcoin (BTC-USD) just touched another record milestone — the $83,000 level.
Today at 3:00 PM UTC
Bitcoin reaches record high above $82,000 as crypto, Trump trades dominate stock market
Yahoo Finance’s Josh Schafer reports:
Bitcoin (BTC-USD) reached a record high on Monday, trading north of $82,400 on Monday morning and pushing several names in the stock market tied to the crypto trade and the post-election Trump rally higher to start the week.
Coinbase (COIN), which offers cryptocurrency trading on its platform, was up more than 13% early Monday and has now soared about 65% in the past five trading sessions.
Similarly, Robinhood (HOOD), which also facilitates crypto trading, saw its stock rise more than 8% on Monday and is now up more than 36% over the past five days.
Stocks open at all-time highs as Tesla soars again, bitcoin hits $82,000
Stocks on Veterans Day opened at all-time highs as market euphoria continued following the presidential election and the Fed’s latest rate cut last week.
The Dow Jones Industrial Average (^DJI) led the way higher, up roughly 0.6%, while the S&P 500 (^GSPC) moved up 0.3%. The tech-heavy Nasdaq Composite (^IXIC) added about 0.3%.
Two of the biggest “Trump trades” to watch on Monday were bitcoin (BTC-US), which touched a new all-time high of $82,000, and Tesla (TSLA), which gained for a fifth straight session.
The EV maker’s stock topped $1 trillion in market value on Friday. CEO Elon Musk was a major political supporter of Trump, helping him get elected.
On Monday, Wedbush analysts raised their price target on Tesla’s stock to a Wall Street high while maintaining an Outperform rating.
“We are raising our price target on Tesla to $400 from $300 as we believe the Trump White House win will be a gamechanger for the autonomous and AI story for Tesla and Musk over the coming years,” Wedbush managing direction Dan Ives wrote in a note.
Today at 1:11 PM UTC
Good morning. Here’s what’s happening today.
Today, on Veteran’s Day, stock markets are open and pointing to further post-election gains amid big moves in digital assets. Tesla (TSLA) shares surged more than 7% in premarket trading, fueled by optimism over CEO Elon Musk’s relationship with President-elect Donald Trump. Meanwhile, bitcoin (BTC-USD) hit a new milestone, surpassing $82,000 as Trump’s pro-crypto stance and a Congress with more crypto-friendly lawmakers spark investor enthusiasm.
Here are some of the biggest stories you may have missed over the weekend and early this morning:
