On Monday, U.S. stock markets showed mixed performance with the Dow Jones Industrial Average rising nearly 450 points, or about 1%, driven by optimism regarding tax reduction plans following a recent election. The Nasdaq Composite gained about 0.1%, and the S&P 500 rose approximately 0.3%. However, the Philadelphia Semiconductor Index fell close to 2%.
Futures for major indices improved before the market opened. The S&P 500, which had hit its 50th record high of the year the previous Friday, saw futures up by 0.5%. The Nasdaq 100 futures also rose nearly 0.5%. Tesla (TSLA, Financial) jumped nearly 7% pre-market, pushing its market capitalization back over $1 trillion, with predictions of a 20% stock price increase in the next year.
Bitcoin prices surpassed $82,000, bolstering cryptocurrency-related stocks, potentially influenced by the election results which could introduce pro-cryptocurrency legislation. The elections also focused attention on Trump's upcoming cabinet selections, including potential Treasury Secretary candidates. Forthcoming inflation data is set to provide insights into the Federal Reserve's interest rate path, with U.S. October inflation expected to rise to 2.6%.
Additional market movements included a 0.5% increase in the U.S. dollar index, with continued pressure on other currencies like the euro. Oil prices experienced significant declines, while gold continued its downward trajectory.
Key stocks to watch include Tesla (TSLA, Financial), Amazon (AMZN), and Nvidia (NVDA).
