Stocks in the US surged, leading to a record: the Dow Jones index broke 30,000 points for the first time in history. In November alone, the Dow rises by 13 percent. This is the result of investor enthusiasm after the Donald Trump administration began the process of handing over the presidency to Joe Biden.
Both the Dow Jones Industrial (30,088 points) and the S&P 500 (3,635 points) – the two most important indices of the New York Stock Exchange – were at record levels on Tuesday. The technological Nasdaq Composite also reached the record level of 12,000 points.
As CNBC describes, investor enthusiasm is the product of two news. First, the decision of the Donald Trump administration to begin the transition of the new US President-elect Joe Biden to the White House. Donald Trump, admittedly, intends to "continue fighting" for the presidency, but he approved the administration's move. Trump has argued since the election results were announced that Joe Biden won undeservedly and there were errors or frauds in the results, but to date, there is no evidence to back up his claim. Moreover, counting the votes in Georgia proved that Biden was the winner there.
Second, investors were thrilled by Biden's decision to elect Janet Yellen, the former Fed chairman, as treasury secretary in the new administration. She would be the first woman to hold this position. Yellen, as described by CNBC, is considered to be friendly to capital markets, and also a person who will opt for another fiscal package stimulating the US economy.
(Business Insider)