Thanks President Trump! U.S. Stocks Post Biggest One-Day Rally Since Election

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Leroy N. Soetoro

Dec 7, 2016, 5:16:57 PM12/7/16

U.S. stocks charged to fresh highs Wednesday, with major indexes logging
their biggest one-day rally since the election.

Stocks had been under pressure in early trading as a decline in health-
care and biotechnology stocks weighed on broader indexes. But a broad
afternoon rally lifted the Dow Jones Industrial Average nearly 300 points
and elevated both the blue-chip index and S&P 500 to closing records.

The day’s moves extended a stretch of recent gains for U.S. stocks.
Investors have scooped up shares and dumped bonds since the U.S.
presidential election, betting that President-elect Donald Trump’s
policies would accelerate economic growth.

The gains have particularly benefitted the shares of banks and industrial
companies, which have outperformed the broader market and helped lift the
Dow industrials to several records since the Nov. 8 election.

Many analysts expect the rally to continue in 2017, noting that gross
domestic product has grown, the labor market has continued to strengthen
and corporate earnings are on the mend.

“Things were already improving before the election,” said Jeremy Zirin,
chief equity strategist at UBS Wealth Management Americas. “What’s
happened since is that many of the pro-growth trends have been

The Dow industrials gained 298 points, or 1.6%, at 19550, and the S&P 500
rose 1.3% to 2241. The Nasdaq Composite climbed 1.1%, erasing losses from
earlier in the session.

All three indexes saw their best day since Nov. 7, the day before the
election, when the Federal Bureau of Investigation said no new evidence
was found to warrant charges against then-Democratic candidate Hillary
Clinton related to her email practices.

On Wednesday, market participants didn’t see a specific catalyst for the
midday surge but speculated that large orders in stock futures placed by
computer programs accelerated buying broadly.

“People across the Street have been talking about a large buy program that
hit the market and caused a spike,” said Jonathan Corpina, senior managing
partner at Meridian Equity Partners. “Then you’ve got everyone jumping out
on top of it and trying to play catch up.”

Volume in S&P 500 e-mini contracts was elevated at 3:25 p.m. New York time
at 1.84 million shares. That is higher than the full-day average over the
last 25 trading days of 1.74 million shares, the data show.

At 11 a.m., the S&P 500 e-mini contract had risen to the 2213 level. By
3:22 p.m., it had shot up 1.1% to 2237, according to Factset data.

“Volumes ticked up there and we’re seeing a bit of a blowup. We got
through the highs of November,” said Michael Block, chief strategist at
Rhino Trading Partners LLC. “There’s this smug assumption now that we’re
getting to 2300” in the S&P 500, he said.

While the broader market has rallied over the past month, individual
sectors and stocks have fluctuated on Mr. Trump’s comments. Boeing’s stock
initially fell Tuesday after the president-elect said the U.S. government
should cancel a planned order with the company, and health-care and
biotechnology stocks slid Wednesday after Mr. Trump was quoted in a Time
Person of the Year article as saying: “I’m going to bring down drug

The S&P 500 health-care sector fell 0.8%, with shares of pharmaceutical
companies posting some of the biggest losses. The Nasdaq Biotechnology
Index declined 2.9%.

“Trump said that he is going to bring down drug prices. That single
comment has shaken the biotech sector,” said Mr. Corpina.

U.S. oil prices fell back below $50 a barrel, but did little to derail the
rally in the stock market. U.S. crude for January delivery fell 2.3% to
$49.77 a barrel, while energy shares rose 0.2% in the S&P 500.

Government bonds got a reprieve from their postelection selloff, with the
yield on the 10-year Treasury note falling to 2.347% from 2.394% in the
previous session, according to Tradeweb. Yields move inversely to prices.

Bond yields have risen since the U.S. election as investors have
anticipated a higher-growth, inflationary environment, which make long-
dated debt less attractive to hold. But some investors rushed back into
bonds on Wednesday betting that the European Central Bank would extend its
€1.7 trillion ($1.82 trillion) bond-buying program at its Thursday policy

Donald J. Trump, 306 electoral votes to 232, defeated compulsive liar in
denial Hillary Rodham Clinton and put an end to Barack Obama on November
8, 2016. The clown car parade of the democrat party ran out of gas.

ObamaCare is a total 100% failure and no lie that can be put forth by its
supporters can dispute that.

His Omnipotence Barack Hussein Obama, declared himself "Pooptator" of all
mentally ill homosexuals and crossdressers, while declaring where they
will defecate.

Obama increased total debt from $10 trillion to $20 trillion in the eight
years he has been in office, and sold out heterosexuals for Hollywood
queer liberal democrat donors.

Loretta Fuddy, killed after she "verified" Obama's phony birth

Obama ignored the brutal killing of an American diplomat in Benghazi, then
relieved American military officers who attempted to prevent said murder
in order to cover up his own ineptitude.
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