Dow Jones Industrial Average rises ahead of Fed rate decision; DJT, Super Micro, Nvidia, Tesla, More Movers; Treasury yields fell

The stock market continued its post-election rally Thursday, but the Dow lagged as some aspects of Trump’s trade retreated.

The S&P 500 rose 0.7% to 5,970, within striking distance of 6,000. The Nasdaq Composite rose 1.4%. The Dow rose 44 points, or 0.1%. He’s been oscillating between positive and negative territory all day. All three indexes hit record closing highs on Wednesday, so any move higher today would be a new milestone.

At the industry level, yesterday’s top gainers pulled back, with the S&P 500 Financials falling 1.1%, while Energy fell 0.8% and Industrials fell 0.2%. This may reflect some profit-taking after all three sectors rose following Donald Trump’s victory over Kamala Harris. Trump’s stance on drilling and deregulation has benefited these sectors more than the rest of the market.

The biggest winners today were consumer products, technology, communications services, real estate and utilities.

Treasuries also rose, with the 2-year yield falling to 4.228% and the 10-year yield falling to 4.369%. Yields rose after Trump’s victory as the bond market began to price in the potential for inflationary policy.

In addition to pre-election trading, Wall Street will be paying close attention to today’s Federal Reserve interest rate decision. While many expect a quarter-point cut today, what comes next is a matter of debate. Any comments from Chairman Jerome Powell could move markets.

The S&P 500 index rose, although only 284 of its participants planned to close higher. The Dow was slightly weighed down by several financial and industrial stocks, including JPMorgan Chase, American Express, Caterpillar and Goldman Sachs Group. About 18 of the company’s 30 stocks were higher today.

Narrated by Frank Cappelleri, founder of technical analysis firm CappThesis. Barrons that the S&P 500’s current three-day gain of 4.3% is its best since it rose 5.5% during the 2022 midterm elections.

“In terms of price action, bullish patterns can still be used, and if this continues, the uptrend could continue,” says Cappelleri. “The 6000 level is understandably on everyone’s radar, but our next upside target currently is 6100, which has been in place since January.”