CNBC Business News Update - Market Midday: Stocks Rally on Trump Win, Mortgage Rates Pop Higher, Bitcoin Surges 11/6/24

Episode Date: November 6, 2024

From Wall Street to Main Street, the latest on the markets and what it means for your money. Updated regularly on weekdays, featuring CNBC expert analysis and sound from top business newsmakers. Anchored by CNBC's Jessica Ettinger.

I'm Jessica Edinger. CNBC Wall Street is rallying this afternoon. Investors reacting to the election of Donald Trump as President of the United States, anticipating less regulation, a possible corporate tax cut on the way. The Dow is soaring, up 1,351 points, being led higher by shares of Goldman Sachs, which are up almost 13%. The Dow right now is up three and a quarter percent. The S&P 500 index up 118 points. That's 2%. And the Nasdaq soaring 427 points this afternoon. That's 2.3%. A long list of companies whose shares have hit fresh all-time highs today, including Amazon, Walmart, Goldman Sachs, Verizon, J.P. Morgan, Caterpillar, Fox News, Parent News Corp., Hilton, Marriott, Royal Caribbean, Capital One, Visa, Oracle, Palo Alto, Palantir, and Nvidia. And that's just to name a few.

Seems like it's trading as if Red Sweep is the presumption at this point. But I think, again, you have the market's tendency, and this happened in 2016 too, where you front load the positive implications of all that is expected. And then down the road, it gets complicated by tariffs. In this case, I think what's being under-discussed is mass deportations on day one and what that means for labor supply, what it means for businesses getting disrupted. CNBC's Mike Santoli. Some investors are calling this a relief rally, that the election appears to be decisive, but one billionaire investor hedge fund manager says stocks are going to fall. Stocks are fully

valued and are more likely to go down than up from here, and that if one was a trader, the sell strength of the opening, and that the market will be down next year. Omega Family Office Chairman and CEO Leon Cooperman on CNBC today. Mortgage demand tanked last week. Mortgage rates were hovering around 7% for a 30-year fixed rate loan. Mortgage rates loosely follow the 10-year Treasury, which spiked today on the prospect that spending under a new Trump administration will push the U.S. budget into further deficit. And mortgage rates popped up this afternoon from 7 to 7.13 percent, according to Mortgage News Daily. Bitcoin surging to a record high of $75,000.

Bitcoin-related stocks are surging on what the industry sees as a friendly new administration in Washington. Bank stocks also soaring on the prospect of less regulation. Tesla shares jumping more than 10% as Trump backers CEO Elon Musk is seen as benefiting from the White House win. This is what we need in the federal government. I think Elon Musk plays a very significant role in this. He has Donald Trump's trust, he has the ideas, and he's not afraid to break some glass. So I think you'll see him in the administration in some role, but I think his advice is going to be invaluable no matter what role he plays.

Former Georgia Senator David Perdue on CNBC. Clean energy stocks like Sunrun, First Solar and Enphase were lower on worries that Trump's second term could imperil the Inflation Reduction Act and measures to fight climate change. Shares of private prison companies are higher today on the Trump win. He has promised a crackdown on illegal immigration and a roundup and deportation of mass groups of people. Florida-based GEO group surged more than 20 percent. CoreCivic gained almost 20 percent. Jessica Ettinger, CNBC. November 13th in New York City, an elite group will gather discussing what the business of tomorrow will look like and you can be a part of it.

Register now at DeliveringAlpha.com.