NEW YORK – Wall Street posted strong gains on Tuesday, US presidential election day, bringing the S&P 500 up 1.8%. More than anything else, investors hope there will be a clear winner relatively soon. Whether it’s President Donald Trump or his Democratic rival Joe Biden, it’s less important.
But if Biden wins, as the polls seem to indicate, the idea that that is could open the door to a great economic support package, especially if the Democrats also get control of the Senate.
What investors fear more than anything is a disputed election that drags on and adds more uncertainty to markets. Most of Wall Street expects a sharp drop in stocks if that happens.
The yield on Treasuries also rose on Tuesday.
The S&P 500 rose 58.92 points, or 1.78%, to 3,369.16. The Dow Jones gained 554.98 integers, or 2.06%, and closed at 27,480.03. The Nasdaq advanced 202.96 units, or 1.85%, and settled at 11,160.57 points
The yield on the 10-year Treasury rose to 0.87%, from 0.84% on Monday night.
An indicator of fear in the stock market, which measures expected volatility for the S&P 500, fell 6.4% and continued its decline after last week rose to its highest level since June.
– .
