A prominent strategist has indicated that “smart money” is leaning toward a potential victory for Donald Trump in the upcoming elections, suggesting a Republican landslide may be on the horizon. This shift in political dynamics became evident following President Joe Biden’s recent withdrawal from the presidential race and his backing of Vice President Kamala Harris as his successor.
Meanwhile, stock markets reacted positively to this political news, with the Nasdaq rising by 1.5%, adding 277 points by Monday afternoon. The Dow Jones Industrial Average and S&P 500 also showed gains, increasing by 0.3% and 1.1% respectively. In the betting realm, platforms like Polymarket and PredictIt are favoring Harris as the Democratic nominee and even predicting her as the next president.
In corporate news, Nvidia’s shares rose by 4% after reports emerged about the company’s plans to develop a version of its Blackwell AI chips for the Chinese market, collaborating with local partner Inspur. The anticipated launch, tentatively named “B20,” is expected to begin shipping by the second quarter of 2025.
Tesla’s stock displayed a notable surge of nearly 5% right before its earnings report, where CEO Elon Musk hinted at advancements in the company’s automated humanoid robots set for limited production in the next year and broader production in 2026.
Conversely, CrowdStrike continues to navigate challenges following its involvement in a significant tech outage, with its stock down over 13% on Monday despite some recovery of affected devices. Meanwhile, Verizon faced a 6% drop in its shares after reporting quarterly earnings that fell short of revenue expectations, attributed to customers retaining older mobile devices for extended periods.
Overall, while some companies face challenges, the stock market has shown resilience in response to the evolving political landscape, with investors reacting swiftly to developments that could shape future economic conditions. This optimistic momentum in certain sectors may indicate potential growth avenues moving forward.
As the political scenario unfolds, it remains crucial for businesses and investors alike to stay informed and adaptive, harnessing opportunities that may arise in this shifting environment.