TORONTO – U.S. stocks surged after Republican candidate Donald Trump won the election, with the Dow Jones industrial average gaining more than 1,300 points by late morning, while Canadian markets were more muted but also rose.
“It looks like the 2016 playbook all over again,” said John Zechner, chairman and lead equity manager at J. Zechner Associates.
So-called cyclical stocks including banks rose Wednesday, alongside other potential beneficiaries of less regulation and more economic stimulus, said Zechner in an email.
In the U.S. these included financial heavyweights Goldman Sachs and JPMorgan Chase, which saw their share prices jump. They’re two of the companies that make up the Dow Jones industrial average, which was up 1,315.43 points at 43,537.31.
The Dow led the major U.S. indexes with a gain of more than three per cent in late-morning trading. The S&P 500 index was up 114.44 points at 5,897.20, while the Nasdaq composite was up 409.83 points at 18,849.00.
Elon Musk’s Tesla was one of the big gainers mid-day Wednesday, up more than 13 per cent, while Trump Media & Technology Group was up more than 10 per cent. Bitcoin also stormed higher, as Trump has pledged to make the U.S. “the crypto capital of the planet.”
The S&P/TSX composite index was up 71.71 points at 24,459.61.
Though Canadian energy stocks are having a good day so far, alongside technology and financials, the index has been weighed down by utilities, telecom, base metals and health care.
Canadian cannabis stocks plunged as efforts to legalize recreational cannabis in several states failed.
The Canadian dollar traded for 71.81 cents US compared with 71.97 cents US on Tuesday.
The December crude oil contract was up 10 cents in late-morning trading at US$72.09 per barrel and the December natural gas contract was up five cents at US$2.72 per mmBTU.
The December gold contract was down US$72.50 at $2,677.20 an ounce and the December copper contract was down 19 cents at US$4.28 a pound.
— With files from The Associated Press
This report by The Canadian Press was first published Nov. 6, 2024.
Companies in this story: (TSX:GSPTSE, TSX:CADUSD)
