📈 Stocks Soar Post-Election

Donald Trump's presidential win and the Republican control of the Senate (and likely the House) have sent ripples through financial markets, spurring a surge in stocks and fueling investor speculation on policy shifts that could shape the economy.

The Dow Jones jumped 1,503 points (3.6%), the S&P 500 gained 2.5%, and the Nasdaq rose nearly 3%. Investors are banking on continued economic growth and more market-friendly policies under Trump’s leadership.
 

 
Trump's re-election has triggered significant financial responses across just about every financial sector, including major movements in currencies and bonds.

• Bond Market Shifts — 10-year Treasury yields climbed significantly to reach 4.9%, the highest level seen in over a decade, as investors brace for increased government borrowing under the new administration. This shift suggests heightened demand for higher returns amid potential fiscal policy changes.

• European Market Reactions — The British pound took a nosedive, slipping 1.16% to its weakest since August. The euro similarly pulled a dramatic plunge of 1.89%, setting a record low since June.

• Dollar Strengthens — The U.S. dollar surged 1.65% against major currencies, marking its biggest single-day gain in eight years. This reflects optimism around Trump's anticipated economic policies and expectations of stronger returns on dollar-based investments.
   

 
Bitcoin’s back at it, riding a fresh wave of hype and leaving previous records in the dust. Shares of Coinbase also rose 18% as Trump's support for cryptocurrencies fuel excitement for the future of those digital dollars.

• Record High Surge — Bitcoin’s value shot up by more than $6,600 to an all-time high of $75,999.04.

• Trump’s Crypto Enthusiasm — Unlike the Biden administration’s crypto crackdown, Trump’s pro-crypto stance has enthusiasts—and investors—buzzing.

• Regulatory Shake-up Hints — Trump hinted he might show Gary Gensler, the SEC chair with a penchant for suing crypto firms, the exit door. With potential for a regulatory revamp, it’s no wonder Bitcoin is celebrating.
   

 
The Federal Reserve is pivoting its strategy in an effort to strike balance between taming inflation and sustaining employment. With its latest rate cut yesterday, the central bank signals a more measured, nuanced approach moving forward.

• Rate Cut Details — The benchmark overnight borrowing rate dropped by quarter percent to at target range of 4.50%-4.75%.

• Labor Market — Job growth softened with only a 12,000 increase in October, influenced by storms and strikes, but overall unemployment remains relatively low at 4.1%.

• Outlook for the Future — A December cut appears likely before a longer pause. Fed Chair Jerome Powell highlighted “recalibrating” policy to avoid recession and maintaining a focus on stable growth.

Along with the new administration comes some ambitious economic changes aimed at revitalizing American industry and solidifying our financial strength.. Trump has promised to slap tariffs on imports, order large-scale deportation of immigrants and cut taxes and government regulations during his second term.

• Tax Cuts Galore — Investors are rubbing their hands in anticipation of Trump’s more business-friendly policies. He plans to extend the popular 2017 tax cuts and introduce more corporate tax breaks, potentially including exemptions for tipped income and Social Security benefits.

• Tariff Concerns — Trump’s back with his tariff hammer, planning 10% to 20% tariffs on imports and even heftier ones for China. His proposed tariffs aim to bolster domestic manufacturing and reduce reliance on foreign goods, but some economists warn this may potentially have adverse effects on the economy and push inflation up. Only time will tell.

• Debt Concerns — Though expanding tax cuts and tariffs may increase the national deficit, Trump’s policies are designed to stimulate economic activity and long-term growth. His approach seeks to balance revenue generation with strategic investments that could lead to greater financial stability in the future.
   

 
October is seasonally the weakest month of the year for wholesale markets, and this year was no different. Used-vehicle prices faced notable declines, and the overall market felt the pressure from seasonal patterns and external disruptions. Here’s a closer look:

• Wholesale: Used-vehicle prices in October faced notable declines, continuing a trend observed throughout the year. October is seasonally the weakest month of the year for wholesale markets.

• Manheim Index Drop — The Manheim Used Vehicle Value Index fell to 202.8, down 3.2% YOY. Non-adjusted prices slid 1.9% from September and 3.7% YOY.

• Segment Trends — All major segments dropped year over year. Notably:

  • Pickups: Led declines at 6.0%.

  • Compact Cars: Fell 3.5%.

  • Luxury/Midsize Sedans: Down 3.0%.

  • EV vs. Non-EV — EV prices fell 11.1% YOY, while non-EVs were down 3.5%. Month-over-month, EVs slipped 0.6% and non-EVs dropped 1.1%.

📊 For more data and insight like this delivered directly to your inbox, subscribe to our daily email today! 📬👇