The recent market response to Donald Trump’s victory and Republican advancement in Congress was remarkable. Stocks surged to all-time highs, and the dollar had its most significant one-day increase since 2022 after Trump’s win over Vice President Kamala Harris. On the day following the election, the S&P 500 rose by 2.5 percent, and the Russell Index of small-cap companies saw a nearly six percent increase.

Moreover, the VIX index, known as Wall Street’s “fear gauge,” dropped drastically, and the trading volume spiked to 19 billion shares, 63 percent over the average daily volume in the past 90 days. This surge was a significant show of support for the president-elect.

While some economists voiced support for Harris’s economic plan, many investors appeared to rally behind Trump, suggesting a disconnect between media narratives and market sentiments. Trump aims to continue his pro-growth agenda by lowering taxes on businesses and reducing regulations to enhance productivity, innovation, and overall economic growth.

Trump’s efforts will likely focus on overturning prior regulations and reducing federal spending that surged during the pandemic. By emphasizing these economic strategies, Trump hopes to steer the U.S. economy toward robust growth. Despite media skepticism and drumming up negative scenarios regarding his agenda, Trump aims to usher in a positive economic future.