Traders work on the floor of the New York Stock Exchange during morning trading on November 7, 2024 in New York City.
Michael M. Santiago | Getty Images
U.S. stock futures fell slightly thereafter. S&P500 and Nasdaq Composite Post-election rallies hit record highs as investors weighed the Federal Reserve’s latest interest rate cuts.
S&P500 futures and futures tied to it Dow Jones Industrial Average Each addition decreased by 0.1%. Nasdaq 100 futures It fell 0.3%.
In Thursday trading, the broad market index rose 0.7% to close at a new record. The tech-heavy Nasdaq rose 1.5%, closing above 19,000 for the first time. on the other hand, 30 stock dow It was slightly lower. The averages of the three major stocks all hit intraday highs during the session.
The market rally continued from Wednesday following President-elect Donald Trump’s victory, during which the Dow and S&P 500 rose to their highest levels since November 2022.
Meanwhile, the Fed cut interest rates by a quarter of a percentage point, in line with market expectations. Fed Chairman Jerome Powell said at a press conference that he was “getting a good feeling” about the economy.
But Scott Helfstein, head of investment strategy at Global
Investors generally see a Republican-led government as a better bet due to expectations for deregulation, the potential for more mergers and acquisitions, and proposed tax cuts. But concerns about the large federal deficit and rising tariffs also raise concerns about rising inflation.
“Markets are sending a signal that the Trump administration is good for growth and good for risk assets, but the combination of faster growth and new tariffs will lead to inflation,” he added. “While the Fed feels the risks are balanced between price stability and maximum employment, this could lead to increased risks quickly shifting to a reacceleration of inflation.”
Following the post-election stock market rally, all three major averages are on a strong weekly upward trend, with the S&P 500 up about 4.3% and the Dow Jones Industrial Average up nearly 4%. Both indexes had their best weeks since November 2023. The Nasdaq index was the outperformer of the three indexes, gaining 5.6% through Thursday’s close.
