Dow Surges Nearly 200 Points to Record Highs as S&P 500 Posts Best Month of 2024

December 1, 2024
Paul Svensen

The stock market experienced a significant boost on Black Friday, with the Dow Jones Industrial Average climbing nearly 200 points to reach a record high. The S&P 500 also celebrated its best month of 2024, driven by strong performances in technology and consumer discretionary sectors, as traders reacted positively to the recent presidential election results and optimistic economic data.

Key Takeaways

The Dow Jones Industrial Average rose 188.59 points, or 0.42%, closing at 44,910.65.
The S&P 500 increased by 33.64 points, or 0.56%, finishing at 6,032.38.
The Nasdaq Composite gained 157.69 points, or 0.83%, ending at 19,218.17.
November marked the best month for the Dow and S&P 500 in 2024, with gains of 7.5% and 5.7%, respectively.
Semiconductor stocks surged following news of potential changes in U.S. trade policy towards China.

Market Performance Overview

On November 29, 2024, the stock market closed early for Black Friday, but not before setting new records. The Dow and S&P 500 both achieved new intraday and closing highs, reflecting a broader market rally that has been building throughout the month.

Dow Jones Industrial Average: +188.59 points (0.42%) to 44,910.65
S&P 500: +33.64 points (0.56%) to 6,032.38
Nasdaq Composite: +157.69 points (0.83%) to 19,218.17

Factors Driving the Rally

Several key factors contributed to the stock market’s upward momentum:

Presidential Election Results: The recent victory of President-elect Donald Trump has instilled confidence among investors, leading to a surge in stock prices, particularly in sectors expected to benefit from his policies.
Strong Economic Data: Positive economic indicators have reinforced the bullish sentiment, with many investors optimistic about consumer spending during the holiday season.
Semiconductor Sector Gains: Reports indicating that the Biden administration may impose less stringent restrictions on semiconductor sales to China than previously anticipated led to significant gains in chip stocks. Notable performers included Lam Research and Nvidia, which saw their shares rise by more than 2% and 3%, respectively.

November Performance Highlights

November proved to be a remarkable month for U.S. equities, with the following highlights:

Dow Jones: Achieved a 7.5% gain, marking its best month in over two years.
S&P 500: Increased by 5.7%, its most substantial monthly gain since November 2023.
Nasdaq Composite: Rose by 6.2%, reflecting strong performance in technology stocks.
Russell 2000: The small-cap index surged 10.5%, benefiting from expectations of tax cuts and deregulation under the new administration.

Looking Ahead

As the market heads into December, analysts remain optimistic about continued growth. The prevailing sentiment suggests that the current bull market may have further room to run, bolstered by seasonal trends and favorable economic conditions. Investors are closely monitoring interest rate expectations, with many anticipating a potential rate cut by the Federal Reserve in the coming months.

In summary, the stock market’s performance on Black Friday capped off a stellar November, with record highs for major indices and a positive outlook as the holiday shopping season begins.