U.S. Stocks Rise to Record as Trump Rally Goes on for Third Week
About $1 trillion has been added to equity values since Donald Trump’s victory, driven by speculation that his plans to cut taxes and boost fiscal spending will accelerate a rebound in corporate profits. Companies that rely more on domestic sales have led the charge higher, with the Russell 2000 Index of small-cap shares rising 15 days in a row, the longest since 1996.
“We’re continuing the slow incremental march higher with earnings-per-share,’’ Brian Jacobsen, the chief portfolio strategist at Wells Fargo Funds Management LLC, said in an interview on Bloomberg Television Friday. “And a presidential election that markets took it in stride maybe gave people a little bit of a second wind, anticipating tax cuts and regulatory relief that could propel earnings is 2017.’’ – READ MORE