Wednesday , February 8 2023

The US stock market has risen after the midterm elections and the Dow Jones index has risen 360 points.


The results of the US midterm elections were not close to expectations and the uncertainty was disappointing. Dow Jones rose 360 ​​points.

The Democratic Party gained control of the House, the Republican Party retained most of the senators, and Congress formed the sect. Investors believe the outcome is stronger as the Washington deadlock helps to support the market. Investors expect Trump's business-friendly policy to continue. Historically, when Congress is divided, the stock market will rise strongly.

Taipei time 01:36

The Dow Jones industrial average rose 358.84, or 1.40 percent, to 25,993.85.

The Nasdaq rose 154.08 points, or 2.09 percent, to finish at 7530.04.

The Standard & Poor's 500 index rose 41.23, or 1.50 percent, to 2,796.68.

Analysts said the results are in line with expectations, government policy is maintained, and stock markets are profitable in the short term.

Many stocks have risen, and Caterpillar, Goldman Sachs, Amazon and alphabet stocks all go up. The economy continues to grow and the Democratic Party eases the Trump Trade War and supports Cat's share price. Investors are also optimistic that Trump and the Democratic Party will work on basic design and design, with materials and union rents rising 7.2 percent and 1.6 percent, respectively.

Technological stocks are on the rise, and the split parliament can condemn the fact that Trump is so big that it has had a huge impact on the economy, and it can keep the tech giants from putting a huge burden on them.

Analysts say additional measures in China are in jeopardy in January. This result will also increase the pressure on US inflation.

The Federal Reserve will hold a two-day policy meeting on Wednesday. Interest rate hikes last month have confused the global stock market. The market responded that the Fed will raise interest rates again in December and will further strengthen credit in 2019.

Parliamentary councils, defense stocks are also expected to rise. Because Democrats and Trump can have a consensus in the field of defense. The Democrats agreed to raise the Department of Defense budget in 2019.

The financial industry is under pressure because the financial industry needs to be more deregulated, and it is more difficult for legislators to loosen controls.

The outcome of this election can make the Trump more probable and increase the volatility of the stock market.

But analysts say this is the entry point. Lido's seasonal factors (including strong holiday sales) help the stock market rise. Purchase opportunities have been created since the October rate adjustment.

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