Stock market today: S&P, Nasdaq hit records as Fed cuts rates, post-election rally rolls on

Published On Nov 7, 2024, 4:07 PM

Following Donald Trump's victory in the presidential election, the U.S. stock market experienced a significant rally, with record highs for major indices including the S&P 500 and Nasdaq. The Federal Reserve also cut interest rates by 25 basis points, contributing to investor optimism, particularly in technology stocks. Key players like Nvidia and Amazon saw notable gains as a result. The election results have spurred excitement for potential economic policies that could favor the stock market, leading analysts to predict continued bullish momentum. However, the housing sector may face challenges due to rising mortgage rates.

Stock Forecasts

The market reacted positively to Trump's election win and the Fed's interest rate cut, particularly favoring technology stocks. Investors could capitalize on the potential for ongoing growth in these sectors, especially with the support of anticipated economic policies from the new administration.

As optimism grows in tech and growth sectors, ETFs like MAGS are expected to benefit from the rising tide of tech stocks, particularly with the inclusion of influential companies such as Amazon and Nvidia.

While some sectors like housing may experience headwinds due to rising mortgage rates, companies with strong earnings growth and positive forecasts, like Moderna and Warner Bros., might provide investment opportunities.

The bearish outlook for DHI amid higher mortgage rates represents a potential shorting opportunity or watchlist item for investors expecting continued struggles in the housing market.

Netflix's strong performance and growth outlook positions it well. With substantial subscriber increases and strong earnings, it remains a top pick for investors focusing on growth in media and streaming.

Related News

Investors are digesting a fresh interest rate cut from the Federal Reserve as the impact of Trump's expected policies also remains in focus.

NVDA
AMZN

Investors are drilling down into the impact of Trump's expected policies as they wait for a Fed interest-rate decision.

NVDA
LYFT
DHI

Investors are drilling down into the impact of Trump's expected policies as they wait for a Fed interest-rate decision.

NVDA
AMZN
QQQ