Various U.S. media outlets have projected and communicated that in the 2024 U.S. presidential election, President Donald Trump has secured electoral votes surpassing the requisite 270 for triumph. President Trump delivered his victory address in the early hours of the 6th at the Palm Beach County Convention Center in Florida. The re-election of President Trump signifies not only the continuation of American policies but also the prospect of encountering a range of novel challenges and opportunities.

Market Response

Subsequent to President Trump's triumph, the U.S. stock market commenced on a higher note and maintained an upward trend, with all three key indices attaining unprecedented highs at the conclusion of trading. The Dow Jones Industrial Average observed a surge of 3.57%, marking its most substantial increase in a span of two years, the Nasdaq climbed by 2.7%, and the S&P 500 index rose by 2.5%. The Philadelphia Bank Index exhibited a surge exceeding 10%, attaining a fresh peak unseen since March 2022. Among individual equities, Tesla emerged as a notable gainer, experiencing a surge of nearly 15% overnight, reaching an uncharted high since July 2023. Elon Musk's personal fortune escalated by $15 billion overnight. Companies such as Nvidia, Amazon, and Netflix also achieved new pinnacle points.

Following President Trump's victory, the U.S. Dollar Index ascended by 1.50%, while the offshore Chinese yuan depreciated by over 900 points against the U.S. dollar, breaching the 7.19 threshold. This market response mirrors anticipations concerning President Trump's policies, particularly their potential repercussions on the U.S. dollar, given his trade policies and fiscal stimulus initiatives. Furthermore, Bitcoin surged beyond $75,000 per coin, establishing a fresh historical zenith with an intraday surge surpassing 8%.

Industries Poised to Benefit

The victory of President Trump is anticipated to yield a favorable impact on the U.S. stock market, particularly in light of his commitments to diminish regulations and taxes on major corporations. This trajectory could potentially lead to an upsurge in oil production and the enforcement of stringent immigration policies, signaling robust economic expansion and inflation, which augurs well for the stock market. Sectors such as banking, technology, defense, and fossil fuels stand to gain from these policy adjustments.

- Technology Industry: Throughout President Trump's tenure, the domestic technology sector demonstrated relative resilience. The administration of President Trump embraced a more measured stance on regulating cryptocurrencies, potentially favoring cryptocurrencies like Bitcoin. Bitcoin, the preeminent cryptocurrency globally, surged to new heights subsequent to President Trump's victory.

- Traditional Energy Industry: The administration of President Trump tends to lend support to traditional energy sectors, encompassing coal and oil. President Trump vowed to curtail environmental regulations to foster the production and consumption of fossil fuels, potentially benefiting the oil and gas sector. Furthermore, the administration may persist in advocating for diminished subsidies for renewable energy, further bolstering the advancement of traditional energy sectors. On November 6th, stocks in oil and steel experienced upswings, indicating optimistic market outlooks for President Trump's energy policies.

- Manufacturing and Industrial Sectors: A fundamental component of President Trump's policy agenda is the repatriation of manufacturing to the U.S. By offering tax incentives and easing regulations to incentivize the return of manufacturing, this could engender a positive impact on the U.S. manufacturing and industrial domains. Additionally, the administration may sustain efforts to promote infrastructure development, thereby stimulating associated industries.

- Defense Industry: President Trump's defense strategies may encompass augmenting military expenditure and exerting heightened pressure on European allies to amplify defense outlays. This could yield a beneficial impact on the defense sector. European defense equities may witness varied outcomes, yet the U.S. defense industry may stand to benefit from amplified government military expenditure.

The re-election of President Trump is poised to exert far-reaching implications on the U.S. and global economies. In terms of economic policies, President Trump's emphasis on invigorating domestic demand through monetary and fiscal relaxation, domestic tax reductions, imposition of tariffs on foreign imports, tightening of immigration policies, and realization of energy autonomy may engender inflationary repercussions. This assumes particular significance in light of the unresolved supply-demand disjunction in the United States, potentially heightening enduring inflationary pressures within the nation.