Professional traders work on the floor of the New York Stock Exchange on November 27, 2024 in New York City.
Brendan McDiarmid | Reuters
Stocks rose on Friday as the trading day was shortened, capping off a strong month for stocks.
of Dow Jones Industrial Average It rose 221 points (0.5%) and is on the verge of setting a new record. of S&P500 and Nasdaq Composite Added 0.6% and 0.8% respectively.
Some of the upward momentum came from semiconductor stocks, after Bloomberg reported that the Biden administration is considering additional barriers to sales of semiconductor manufacturing equipment to China that are not as strong as previously expected. It skyrocketed. applied materials and ram research While they rebounded by more than 3% and 4%, respectively, Nvidia It rose more than 2%. of iShares Semiconductor ETF (SOXX) Added more than 2%.
These moves occur when traders are focused on the end of a strong week or month. Trading in November was mainly centered on the post-election rally driven by President-elect Donald Trump’s victory.
The Dow Jones Industrial Average is up more than 1% week to date, bringing November’s gain to nearly 7.5%. The S&P 500 and Nasdaq Composite each rose 1% for the week and are now on track to end the last month of 2024 up more than 5% and 6%, respectively. With these gains, the Dow and S&P 500 are both on pace to post their best months of 2024.
Dow year to date
Mainly small-cap stocks russell 2000 It outperformed in November as investors saw the group benefiting from President Trump’s potential tax cuts. The Russell 2000 is up about 11% this month, helped by a gain of about 1.4% this week.
“For me, the main takeaway from November is that what was true before the election will remain true after the election,” said Ross Mayfield, investment strategist at Baird Private Wealth Management. Ta. “Going into December, everything is going well, we have an election coming up, and there’s still room for seasonal tailwinds, so it’s very difficult to let this bull market fade.”
Stock prices are also rising later this year on expectations that interest rates will continue to trend lower, increasing the present value of future earnings and boosting the economy. Federal funds futures currently price in about a 66% chance that the central bank will cut interest rates by 25 basis points at next month’s policy meeting, according to CMEG Group’s FedWatch tool.
The stock market will be dark on Thursday and will close at 1pm ET on Friday due to the Thanksgiving holiday. There were no notable economic announcements or corporate earnings reports in Friday’s minutes. Trading was light.
