Investors will probably consider it a good day for all stocks if they see the Dow Jones Industrial Average rise 2.3% (or 625 points) since Election Day. It turns out that technology and medical care led the rally. Some Dow’s stocks are dark post-election deals and others are soaring, as the presidential race is still being called and the mixed congress is likely to be stagnant.
24/7 Wall St. is tracking some major winners, but we look at why some Dow stocks can have a significant impact on some of the biggest competitors in the sector.
One possible problem that may arise under the assumption that President Biden and the Republican Party dominated the Senate is that the company that was expected to be the winner of the big stimulus spending is now likely not to see the growth it could get under stimulus expansion. Most investors believe there will be a stimulus package. It won’t be as huge as some bulls expected.
Another consideration for the Dow is that it doesn’t even have the strongest bullish trend. The tech-heavy Nasdaq has now risen 4.1% with vast election winners as more regulations could disappear as soon as they arrive. The S&P 500 rose 2.9% with the healthcare sector winners also playing an important role.
Caterpillar Inc. (NYSE: Cat) Was expected to be a big winner if a massive stimulus package came out. The United States will have to pour trillions of dollars into the aging infrastructure on which the state depends. It varies from dams to bridges, roads, ports and beyond. Cat equipment may have continued to be used.
Caterpillar shares fell 6.3 percent to $157.07 on Wednesday afternoon. This is after an increase of about 10% compared to last week. Goldman Sachs had strong expectations. The 52-week range is from $87.50 to $171.26, while Refinitiv’s consensus analyst target price is $162.81. Because of this, before, this stock was above the average analyst’s target price, and now spending on massive stimulus doesn’t seem as easy as a day ago.
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Dow Inc. (NYSE: DOW) Also declined. Chemical manufacturers would have been stimulated by all the necessary inputs. The chemical giant wouldn’t see massive stimulus spending now had it seen the blue wave.
Dow’s share price fell 4% on Wednesday afternoon to $46.83, up nearly 9% in recent days since the sale last week. The 52-week range is from $21.95 to $56.25 and Refinitiv’s consensus analyst target price is $50.59.
JPMorgan Chase & Co. (NYSE: JPM) Also went down on Wednesday. What’s interesting here is that if the Senate seems to be able to block it, it’s likely to mean that the Treasury or Fed officials can’t propose radical regulation now. That said, a low stimulus cost means less money for both consumers and businesses to steal, which could mean more bankruptcy and credit issues are going on. Still, JPMorgan After unexpected growth It occurred without irritation in more than half of the last quarter.
JPMorgan’s share price fell 2% to $101.14 on Wednesday afternoon. The 52-week range is from $76.91 to $141.10, while Refinitiv’s consensus analyst target price is $117.49.
3M Co. (NYSE: MMM) Rose more than 5% from the end of last week to Wednesday, but one of the key issues that would have helped 3M under the stimulus package was the explosive explosion of medical protective equipment (PPE) being bought in bulk to build a national stockpile. You should avoid relying on China. That logic sounds right, but it’s hard to imagine that the PPE’s stockpile will fight. Analysts Aggressively upgrade 3M ahead of revenue.
Last Wednesday afternoon, 3M shares fell 2% to $161.96. The 52-week range is from $114.04 to $182.55 and Refinitiv’s consensus analyst target price is $173.44.
International Business Machines Corporation (New York: IBM) Is considered a stimulus loser because it would have been much more money to hire for major IT-related projects by states, federal governments, and many organizations. Investors also Skeptical of IBM’s pending dissolution, But that is a completely different matter.
IBM’s share price rose nearly 5% from last Friday on Election Day, but fell close to 2% on Wednesday afternoon to $112.20. The 52-week range ranges from $90.56 to $158.75 and Refinitiv’s consensus analyst target price is $135.93.