On Election Day, November 5, 2024, the SPDR S&P 500 ETF (SPY) closed at $576.70. In the wake of Donald Trump’s victory, it rallied the following week.
Let’s fast forward to today… As I write this, the SPY is trading at $576.80 – virtually unchanged since the election.
But let me be clear… only looking at that number would be misleading. Over that same stretch, the S&P 500 has surged 7%, hit a record high, and endured two separate 5% pullbacks.
Meanwhile, the CBOE Volatility Index (VIX) spiked to its highest level since August – proof that uncertainty is running high.
The AAII Investor Sentiment Survey tells an even bigger story. The week after the election, nearly 50% of investors were bullish. Today, that number has collapsed to a new yearly low of just 19.3%. That’s the kind of shift that signals opportunity.
Here’s the reality: If you started a long vacation on Election Day and just got back, you might think you didn’t miss much. But in truth, the market has been on a roller coaster. And with Trump’s administration making aggressive policy moves – slashing spending, imposing tariffs, and reshaping trade policy – investors are scrambling to keep up.
Just two weeks ago, the S&P 500 hit an all-time high. Today, it’s 6% lower as the market digests what’s next out of Washington, D.C.
But here’s my take… This volatility is temporary. And for smart investors, it’s creating big opportunities in key sectors.
Trump has made it clear – he ties his success to the stock market. He doesn’t want to be the president who drives the economy into a recession or sends stocks into a bear market. That’s why I see this pullback as a chance to buy into the right trends before the next leg higher.
That may not feel like an easy task today… but these are the moments that separate average investors from those who build real wealth.
Stay strategic. Stay focused. And, as always, embrace the opportunity in front of you.
Here’s to the future,
Matt McCallEditor, Market Insights
P.S. And speaking of opportunity, I believe a massive wealth-creating event is on the horizon…
Now is the time to act – and prepare your portfolio for what’s coming. That’s why today, I’m hosting a live event to tell you how to do it.
It’s not too late to tune in. Just click here to join me when you’re ready – I’m going live at 12 p.m. Eastern time.
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