U.S. election pulls retail traders to stock markets

Reuters

U.S. election pulls retail traders to stock markets

2024 11월 7, 오후 2:11 GMT

<html xmlns="http://www.w3.org/1999/xhtml"><head><title>LIVE MARKETS-U.S. election pulls retail traders to stock markets</title></head><body>

Main U.S. equity index futures green: Nasdaq 100 up ~0.6%

FOMC results due at 2 PM EST

Euro STOXX 600 index up ~0.7%

Dollar, crude down; bitcoin off >1%; gold up ~1%

U.S. 10-Year Treasury yield falls to ~4.38%

Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at markets.research@thomsonreuters.com

U.S. ELECTION PULLS RETAIL TRADERS TO STOCK MARKETS

Retail traders' involvement in the U.S. stock market hit a six-month high on Wednesday, according to J.P.Morgan, as Republican Donald Trump emerged as the winner of the 2024 U.S. presidential election.

About 26% of the previous session's market volume was from retail investors at session peak, about 5% higher than during the 2020 election cycle, noted Emma Wu, strategist at J.P.Morgan, in a report.

U.S. stocks and bitcoin soared to record highs, while the dollar and Treasury yields surged on Wednesday on expectations Trump would usher in more business-friendly policies including corporate tax cuts.

Demand for broad market exchange traded funds (ETFs) was solid with leveraged bull tech and bitcoin ETFs also drawing strong interest from individual investors, per report.

Among individual names, Tesla TSLA.O and Palantir PLTR.O drew strong flows while interest in China ADRs appears to be fading, the report said.

Meanwhile, retail trading platform Robinhood Markets HOOD.O logged its largest-ever overnight trading session since it introduced that option in May 2023 and investors piled into securities that are believed to benefit from a second Trump presidency, ranging from Coinbase Global COIN.O and the iShares Bitcoin Trust ETF IBIT.O to companies owned by Trump DJT.O and his wealthiest fan, Elon Musk TSLA.O.

Retail traders' portfolios are up 3.7% so far this year compared to 20% jump in the S&P 500 .SPX, mainly due to lighter exposure to tech and financial sectors, Wu said.

(Medha Singh)

*****

FOR THURSDAY'S EARLIER LIVE MARKETS POSTS:

NASDAQ COMPOSITE: CHARGING TOWARD A BATTLE LINE - CLICK HERE

TRUMP CONSTRAINTS COULD DECIDE EUROPEAN EQUITIES' FATE - CLICK HERE

EUROPE RISES ON STRONGER MINING, AUTOS, BUT EARNINGS DRAG - CLICK HERE

EUROPE BEFORE THE BELL: FUTURES RISE AHEAD OF JAMPACKED DAY - CLICK HERE

GERMAN POLITICAL DRAMA ADDS TO TRUMP RISKS FOR EUROPE - CLICK HERE

</body></html>