US benchmark equity indexes saw gains intraday as markets anticipated results of the presidential election. The Nasdaq Composite increased by 1.3% to reach 18,413.8 after midday Tuesday, while the S&P 500 climbed 1% to 5,771.5. The Dow Jones Industrial Average rose 0.9% to 42,159. All sectors were experiencing positive momentum, with consumer discretionary and industrials leading the charge. As Americans cast their votes, they choose the next president of the country.
Democratic Party nominee and US Vice President Kamala Harris is competing against Republican Party nominee and former President Donald Trump. Wall Street is closely monitoring key swing states, with the market expected to experience volatility until a clear result emerges. Analysts indicate that it may take several days to determine the final outcome. "The US presidential election likely will be decided by a few thousand voters across a handful of swing states," stated Wells Fargo Investment Institute. Intraday data showed that the US two-year yield climbed 3.4 basis points to 4.21%, while the 10-year rate increased by 1.4 basis points to 4.32%. In the corporate landscape, Palantir Technologies ($PLTR) saw its shares soar nearly 22%, making it the best performer on the S&P 500 after reporting stronger-than-expected third-quarter results and raising its full-year outlook amid heightened demand for artificial intelligence. GlobalFoundries ($GFS) emerged as the top gainer on the Nasdaq, increasing by 14% following a successful third-quarter performance. Conversely, Celanese ($CE) took a significant hit, with shares plunging 25% as it became the worst performer on the S&P 500 after a disappointing third-quarter report.
NXP Semiconductors ($NXPI) shares fell 6.8%, the second steepest decline on both the S&P 500 and the Nasdaq, following a drop in third-quarter results and a disappointing outlook for the fourth quarter. Additional companies like Microchip Technology ($MCHP), Devon Energy ($DVN), and Frontier Communications Parent ($FYBR) are slated to release their results following Tuesday's market close. On the economic front, the US services sector continued its expansion in October despite a slowdown in new orders growth, as reported by the Institute for Supply Management. "Concerns over political uncertainty were again more prevalent than the previous month," commented Steve Miller, chair of the ISM's services business survey committee.
"Impacts from hurricanes and ports labor turbulence were frequently mentioned; however, several panelists noted that the longshoremen's strike had less impact than initially feared due to its short duration." West Texas Intermediate crude oil rose 0.2% to $71.60 per barrel intraday, while gold increased by 0.1% to $2,749.20 per troy ounce.
Silver also saw a rise of 0.5%, settling at $32.78 per ounce..