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This morning, the Dow Jones Industrial Average is on the verge of opening at an all-time record high on Thursday as investors continue to weigh the policies and expectations of a Donald Trump presidency.
While the markets had expected great uncertainty with Trump and greater stability with a Clinton win, investors have been focusing on Trump's acceptance speech.
The president-elect has emphasized new infrastructure projects and other policies that could boost U.S. GDP growth.
On Wednesday, the Dow Jones surged 256 points after Donald Trump won the 2016 presidential election. It was a wild ride as markets stormed back from an 800-point deficit in the futures market the night before when Trump pulled ahead in electoral votes.
Wednesday's Stock Market Numbers:
Dow Jones: 18,589.69; 256.95; 1.40%
S&P 500: 2,163.26; 23.70; 1.11%
Nasdaq: 5,251.07; 57.58; 1.11%
Now, here's a look at today's most important market events and stocks, plus a look at Thursday's economic calendar.
What's Ahead for the Dow Jones Industrial Average Today
The Dow Jones Industrial Average projected a 95-point gain and a new record open. With so much emphasis on Trump's policies, industrials and infrastructure stocks are pushing the Dow higher. In addition, the expectation of increased inflation is pushing both bank stocks and bond yields higher.
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On the data front, 256,000 Americans sought unemployment benefits last week. That's less than the 260,000 that economists had projected. Markets will continue to keep a close eye on the labor market moving forward as the probability of a December rate hike remains high.
According to a poll conducted today by Reuters, economists anticipate that the Federal Reserve will hike interest rates in December. Such speculation helped push financial stocks higher on the day. Still, uncertainty is expected in the months ahead, which means that investors need a plan in order to profit from a Trump presidency.
After Trump's dramatic Election Day upset, markets are trying to determine how a Trump presidency is affecting oil prices today. Trump claims he will make the United States energy independent and help bolster growth in our energy sector. Here's a breakdown of Trump's energy policies and how it affects global supply and prices.
The WTI crude oil price today slipped 1.1%, while the Brent crude oil price dipped 0.5%. The downturn today comes as investors eye the possibility of increased production in the United States, higher domestic crude inventories, and that OPEC's production deal collapses later this month.
Stocks to Watch Today, Nov. 10, 2016
- Keep an eye on the biotechnology sector, which scored a huge victory on Election Day with the Clinton loss and a big win in California on a ballot measure to control drug prices. Voters decided to turn down a measure that would rein in prices for prescription drugs. Shares of Amgen Inc. (Nasdaq: AMGN) Celgene Corp. (Nasdaq: CELG), and Gilead Sciences Inc. (Nasdaq: GILD) all pushed higher again this morning, while the iShares NASDAQ Biotechnology Index (ETF) (Nasdaq: IBB) rallied another 1.7%.
- In earnings news, shares of Macy's Inc. (NYSE: M) fell more than 0.7% in pre-market trading after the company fell short of Wall Street earnings expectations. The firm reported earnings per share (EPS) of $0.17 on top of $5.626 billion in revenue. Analysts had expected an EPS of $0.41 on $5.64 billion in revenue. Both figures are a steep decline from previous profit and revenue levels in the same quarter of 2015.
- Meanwhile, shares of retail rival Kohl's Corp. (NYSE: KSS) rallied more than 7% this morning after the department store announced a 21.7% gain in quarterly profits.
- Look for additional earnings reports from NVIDIA Corp. (Nasdaq: NVDA), The Walt Disney Co. (NYSE: DIS), Michael Kors Holdings Ltd. (NYSE: KORS), Nordstrom Inc. (NYSE: JWN), SodaStream International Ltd. (Nasdaq: SODA), and Ralph Lauren Corp. (NYSE: RL).
Today's U.S. Economic Calendar (all times EST)
- Jobless Claims at 8:30 a.m.
- St. Louis Federal Reserve President James Bullard speaks at 9:15 a.m.
- Bloomberg Consumer Comfort Index at 9:45 a.m.
- EIA Natural Gas Report at 10:30 a.m.
- 3-Month Bill Announcement at 11 a.m.
- 6-Month Bill Announcement at 11 a.m.
- 10-Year TIPS Announcement at 11 a.m.
- 30-Year Bond Auction at 1 p.m.
- Treasury Budget at 2 p.m.
- Fed Balance Sheet at 4:30 p.m.
- Money Supply at 4:30 p.m.