COLUMBUS, Ga. – Stocks are now steady and even surging less than 24 hours after Republican President-Elect Donald Trump’s victory over Democrat Hillary Clinton Tuesday night. U.S. stocks welcomed the newly elected Trump by avoiding the crash many had feared. Overnight, there was panic in global markets as it became clear that Trump was about to pull off a stunning upset (according to most polls) by defeating Clinton.
Dow futures plummeted nearly 900 points as investors expressed fear about the inherent policies brought on by a Trump White House. But a sense of relative calm seemed to return to the markets by Wednesday’s opening bell. By noon, the Dow had climbed more than 200 points and the NASDAQ was up about 50 points. The Dow surged about 250 points overall Wednesday.
News 3 spoke with a financial planner, who says the healthcare industry could take a small hit, with uncertainty over the future of the Affordable Care Act in the Trump administration. Raymond James branch manager Murray Solomon says the big dip Tuesday night was unusually surprising, even with a change of power anticipated in the White House. However, Solomon says markets rebounded substantially, particularly in the defense industry. He adds that transportation and utility stocks linked to oil and natural gas could face a boost during Trump’s presidency.
“It’s a relief rally to the fact that we will not have the pharmaceutical and drug price controls that were indicated by Mrs. Clinton,” Solomon said about the market moves Wednesday. “Defense contractors are doing very well. Take Lockheed-Martin for example. They should stand to benefit from increased spending of the government on military supplies.”
Solomon says the Mexican peso took a hit in value after Trump’s victory. The GOP billionaire has criticized the North American Free Trade Agreement (NAFTA), voting to tweak the deal. Solomon says the move could strain relations between the U.S. and Mexico, and it could negatively impact business across the border.