No Blue Wave Lead Stocks Higher
Here is a daily recap of the S&P 500 broken down by sector followed by sector heat map as no blue wave lead stocks higher. Stocks in heat map are based on the top 10 holdings of each sector ETF. Click on each picture to zoom in. Below is a summary of today’s action on Wall Street provided by CNBC:
Stock futures rose on Tuesday night following a sharp rally during regular trading while investors awaited the result of the presidential election. Dow Jones Industrial Average futures traded 145 points higher, or 0.6%. S&P 500 futures gained 0.6% and Nasdaq 100 futures advanced 0.4%.
The S&P 500 (SPY) rose +2.21% today. Sector advancers led decliners 7 to 4 as shown below in the sector graph. Gains ranged from +4.44% to less than 1%. Losses ranged from -1.70% to -1.03%, for specifics check the sector graph.
The Dow Jones index climbed +369 points (+1.34%) to close at 27,849. The Nasdaq climbed +430 points (+3.85%) to settle at 11,590.
No Blue Wave Lead Stocks Higher
Stocks advanced on Wednesday on the back of tech even though the results of the Presidential election remain up in the air.
“I think the big news for the markets right now at least as it looks preliminary is that there’s not going to be a blue wave, which is generally supportive for markets,” said Mike Lewis, managing director of U.S. equity cash trading at Barclays. I think that the outlook going forward for markets is going to be more about policy and the Fed than it’s going to be about politics, which is a good thing for markets.”
The campaigns for both candidates claimed they would win the race even though a half-dozen battleground states were still not called, including Arizona, Nevada, Wisconsin, Michigan, Pennsylvania, North Carolina and Georgia.
Shares of major tech-related companies jumped with Apple and Microsoft both up at least 4%. Facebook popped 8.3%, while Google-parent Alphabet and Amazon both jumped more than 6%.
Wall Street traders and investors attributed the move in tech to a number of factors, including the group’s consistently solid returns and safety appeal in times of uncertainty. Additionally, some viewed the potential for Republicans to hold onto the Senate as a positive for the group since higher capital gains taxes from a Democrat congress could have weighed on the high-growth sector.
Notable S&P 500 Movers…
Below I’ve highlighted some notable S&P 500 movers (both winners & losers).
Credit: Sector Graph provided by Sector SPDR app. Sector breakdown provided by Charles Schwab. Sector heat map provided by finviz. Information Credit: News Headlines and quotes were taken from CNBC in the writing of this post.
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S&P 500 Sector Graph
S&P 500 (SPY)
Communication Services (XLC)
Consumer Discretionary (XLY)
Simply Stock Info: The Podcast Episode 1: Basic Investment Strategy Episode 1 goes over my basic investment strategy for individual investors (from years of watching and learning from CNBC).
Consumer Staples (XLP)
Real Estate (XLRE)
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Simply Stock Info: The Podcast Episode 3: 6 Investing Rules for Individual Investors In this episode I discuss 6 investing rules for the individual investor that is in charge of their own retirement account.
S&P 500 Sector Heat Map