Amid the political turmoil of the 2024 US presidential election, the result was Donald Trump's victory, which brought the economic impact of this event back into focus.
One of the most interesting points is the impact this win has on Wall Street, particularly when it comes to companies directly tied to Trump’s policies and personal businesses. Among these companies, Trump Media stock stands out as one of the assets that has been under the microscope as investors and analysts examine the impact of his political and economic statements on its market value.
Trump Media shares rose 5.94 percent at the end of Wednesday's trading, reaching $35.95 per share, after rising more than 50 percent before trading, continuing their positive levels after a series of fluctuations (usual for the company), some of which were linked to the rise and fall of Trump's star during the election campaign.
One of the stocks that has been linked to Trump recently is Tesla, as the company’s billionaire CEO, Elon Musk, is a major Trump supporter. The company’s shares rose 14.75 percent at the end of trading on Wednesday (after Trump’s victory was announced) to $288.53 per share. Since the beginning of the year, the company’s shares are up 17.26 percent.
Cryptocurrency-related stocks have also been affected by Trump, especially after the US president-elect presented himself during his election campaign as a supporter of the crypto market. Coinbase shares rose 31.11 percent by the end of Wednesday’s trading, closing at $254.31 per share.
Microstrategy shares also rose 13.17 percent to close at $257.81 a share by the end of trading on Wednesday, supported by a recovery in cryptocurrencies, as Bitcoin jumped to a new record high above $75,000, influenced by the victory of Trump, who pledged to support the industry.
Wall Street largely greeted Trump's victory with exceptional positivity, with major indices jumping collectively into the green, led by the Dow Jones, which hit a record high, rising 3.57 percent to close at 43,729.93 points. The S&P 500 also rose 2.53 percent to close at 5,929.04 points, and the Nasdaq Composite rose 2.95 percent to close at 18,983.47 points.
Trump's influence is widely expected to spill over into several key sectors, including the oil sector, based on Trump's energy policies, as well as sectors such as defense.
Continued gains
For his part, Mazen Salhab, Chief Market Strategist for the Middle East and North Africa at BDSwiss, said in statements to the Sky News Arabia Economy website that US stocks will continue to make gains for several upcoming sessions, affected by Trump’s victory.
He also expected that the Federal Reserve (the US central bank) would reduce interest rates, noting that President-elect Trump had repeatedly announced his intention to reduce taxes on US companies and individuals, as well as support the traditional US oil industry and attempt to return manufacturing to America.
