Trump's Victory Ignites Markets

Good morning. It's November 6th, and today we’ll look at the massive impact of President Trump winning a second term on the markets, the U.S. dollar, the 10-year Treasury yield, Bitcoin, and more.

Previous Close 📈

Stocks rallied on Tuesday as optimism grew ahead of the U.S. presidential election results. In premarket trading, shares closely tied to a potential Trump administration, such as JPMorgan, Bank of America, and Wells Fargo, surged, while clean energy stocks reacted negatively.

Futures

Futures are rising sharply this morning as markets are reacting to former President Donald Trump coming back for a second term. Dow futures are up 1,133 points (2.7%), S&P 500 futures by 2.4%, and Nasdaq 100 futures by 1.8%.

Uranium

Heavy Demand, Big Shortages - How To Play This Investing Sweet Spot

As global energy demand surges, uranium has emerged as a key resource in the race to secure a stable electric grid.

With AI, big data, and rapid industrialization fueling unprecedented power needs, the pressure on traditional energy sources is mounting. In response, 60 nuclear power plants are under construction worldwide, with another 110 in planning—all requiring massive uranium supplies.

This surge in nuclear development is setting the stage for a severe uranium supply crunch. The limited availability of high-grade uranium presents an opportunity for those who can meet this demand, creating a unique investing sweet spot.

One emerging company is already positioned with rich uranium deposits, potentially providing a crucial supply to stabilize this growing energy demand.

As the uranium market heats up, this company could be instrumental in easing the crisis.

Discover the company behind this uranium solution and see the full story here.

What to Watch

CVS Health Corporation (NYSE: CVS) and American Electric Power Company (NYSE: AEP) will announce their quarterly earnings before today's opening bell.

After the market closes, Qualcomm Incorporated (NASDAQ: QCOM), Arm Holdings (NASDAQ: ARM), Gilead Sciences (NASDAQ: GILD), and Mercadolibre (NASDAQ: MELI) will also share their results.

Watch out for the S&P Final U.S. Services PMI for October, which will be released at 9:45 a.m. ET, providing insights into the health of the services sector.

Markets

Trump’s Path to Victory Ignites “Trump Trade” Across Global Markets

U.S. stocks, Treasury yields, and the dollar are rallying today as former President Donald Trump reclaimed the White House, driving significant market gains. While S&P 500 futures are up, the 10-year Treasury yield has also jumped 14 basis points, reflecting renewed investor optimism.

The dollar is recording its biggest gain since 2020, and Bitcoin has surged to a new high as market sentiment is leaning into the potential for looser regulations under Trump’s leadership.

Investors’ confidence in a Trump administration is echoing across sectors tied to traditional energy, finance, and defense. Shares of fossil fuel companies, banks, and small-cap stocks are rising, while renewable energy stocks are lagging.

Global markets are also experiencing ripple effects as Hong Kong stocks and the yuan softened amid concerns about escalated U.S.-China trade tensions.

Eastern European currencies are also seeing declines, given the potential increased regional defense spending.

Automobiles

Tesla Shares Rally 14% Amid Speculation Over Trump-Backed Musk’s Potential White House Role

Tesla’s stock is up 14% in premarket trading today as investors anticipate potential gains from a Donald Trump victory in the U.S. presidential race.

Tesla CEO Elon Musk, a prominent Trump supporter, has positioned himself as an ally to the former president, recently contributing nearly $75 million to America PAC, his political action committee supporting Trump’s campaign.

Trump has promised to appoint Musk as head of a newly established government efficiency commission, a role Musk claimed could lead to $2 trillion in federal budget cuts. Speaking at a Trump rally in October, Musk vowed to reduce government waste and give “Americans back control of their wallets.”

Although Trump has generally been seen as unsupportive of clean energy, analysts believe Tesla might benefit due to its market position. They contend that while a Trump administration might retract EV subsidies, Tesla’s large scale and established market share could afford it a competitive edge over smaller, subsidized EV rivals, particularly if Trump raises tariffs on Chinese EV imports.

Tesla’s rise followed a 3.5% gain on Tuesday, breaking a six-day losing streak, although its year-to-date performance has lagged behind the S&P 500.

Healthcare

CVS Reports Higher Revenue But Misses Profit Estimates in Q3 Under New CEO

CVS Health reported mixed third-quarter results today in CEO David Joyner’s first earnings report, revealing higher-than-expected revenue but falling short on profit. The company’s earnings per share of $1.09 is below Wall Street’s expected $1.51, while revenue has risen 6.3% to $95.43 billion, surpassing forecasts of $92.75 billion.

CVS’s stock is up 5.71% in premarket trade.

The firm attributed revenue growth to its pharmacy and insurance units, but profitability was pressured by high medical expenses in its Aetna insurance division, a trend expected to continue. Consequently, it withheld formal full-year guidance, opting instead to provide general commentary on expected performance.

The company’s insurance division, fueled by returning senior patients after pandemic delays, saw revenue increase to $33 billion, yet it posted a $924 million adjusted operating loss. The division’s medical benefit ratio rose to 95.2% from 85.7% a year earlier, indicating higher medical costs relative to premiums collected.

In restructuring efforts, CVS recorded charges related to the closure of 271 additional stores and layoffs, totaling $1.17 billion for the quarter. The company also appointed Steve Nelson, a former UnitedHealth executive, as president of Aetna and expanded the role of executive Prem Shah to oversee pharmacy and healthcare delivery businesses.

Looking ahead, CVS expects a shift in premium deficiency reserves to improve Q4 results and plans a comprehensive approach under new leadership to tackle ongoing operational challenges.

Media and Entertainment

Trump Media Stock Surges 34% as Trump Wins Second Term

Shares of Trump Media & Technology Group (DJT) are rallying as much as 34% in premarket trading upon news of the former President coming back for a second presidential term.

DJT’s stock experienced intense volatility on Tuesday, with trading halted several times before closing with a slight 1% drop. Analysts have described the stock as highly dependent on Trump’s election results, with a “buy the rumor, sell the fact” approach.

On the business front, DJT’s latest earnings report showed a $19.25 million net loss for Q3, a narrower loss than the previous year. Revenue dropped slightly to $1.01 million, marking a 23% decline over the past nine months compared to the same period last year.

Despite uncertainties about Truth Social’s competitive edge in social media, DJT shares have rebounded amid Trump’s election momentum, with the former president maintaining a roughly 60% ownership stake in the company.

Smart Algorithm

Trading Experts Call It "The World's Most Predictable Pattern"

Imagine trading with a pattern so consistent, it’s known as "the world's most predictable pattern."

One seasoned trader from north Florida has used this strategy to grow his model portfolio by an impressive 85% per year, all by tapping into the reliable moves of Wall Street’s algorithms.

This pattern isn’t just theory; it’s been tested and proven time and again, bringing in steady gains even during volatile market conditions.

Now, he's offering access to this approach for free, giving traders a chance to see how it’s done and make it part of their own toolkit.

If you're looking for a method that’s designed to deliver consistent results, this could be the game-changer you've been waiting for.

Click here to unlock this trading pattern and see how it can work for you.

ARB IoT Group Limited [ARBB] - Last Close: $0.56

ARB IoT Group Limited’s stock is up 68.31% in premarket trading today.

It has announced a strategic partnership with ASUS and ServerSphere to develop and distribute AI server solutions globally.

The collaboration combines the strengths of each partner: ASUS’s leadership in hardware, ServerSphere’s advanced storage technology, and ARB IoT’s expertise in IoT integration and turnkey solutions.

The agreement emphasizes not only technical collaboration but also market expansion and customer support, marking a major milestone in ARB IoT’s growth and expansion in the global AI market.

Phunware Inc. [PHUN] - Last Close: $6.37

Phunware Inc., a mobile-advertising company associated with former President Donald Trump, is experiencing a significant premarket stock surge of 25.75%.

This uptick is linked to Trump's return to the White House, as Phunware developed the mobile application for his 2020 reelection campaign.

Investors are optimistic that a Trump presidency could enhance Phunware's business prospects, given their previous collaboration.

Qualys Inc. [QLYS] - Last Close: $128.23

Qualys Inc. is seeing a 21% rise in premarket trading following its strong Q3 2024 results.

The cybersecurity company’s revenue grew 8% YOY to $153.9 million, with notable gains in international sales (up 14%) and channel contributions now at 47% of total revenues.

Adjusted EBITDA remained robust at $69.7 million, though the margin dipped slightly due to a 12% increase in operating expenses.

Qualys’ net dollar expansion rate rose to 103%, underscoring its strong upsell and customer retention.

The company also revised its full-year guidance, with revenue expected to reach $605.9 million and EPS between $5.81 and $5.91.

Powering the Future

Unlocking a Rare Opportunity in High-Grade Uranium

As modern industries like AI, big data, and cryptocurrency continue to explode, our electric supply faces unprecedented strain.

Energy consumption is doubling every few years, and the solution is clear: more nuclear power, fueled by uranium.

With 60 nuclear plants currently under construction and 110 more planned, the demand for uranium is soaring, and supply chains are feeling the heat. A recent Wall Street Journal headline put it best: “Uranium is running hot, miners can't keep up.”

This intensifying demand has created an urgent need for high-grade uranium, and one company could be in prime position with a stockpile ready to help bridge the gap.

Curious about the full story behind this potential energy solution?

Explore the details here and see why this uranium supplier could be a critical player in tomorrow’s energy market.

Everything Else

• KKR explores options for selling its 53.8% stake in JB Chemicals & Pharmaceuticals.

• Novo Nordisk reassured investors with strong Wegovy sales despite weaker Ozempic performance.

• Super Micro delayed its annual financial report, risking Nasdaq delisting amid auditor resignation.

• Toyota's quarterly profit fell 20% due to quality problems and Chinese competition.

• Wise's revenue climbed 19% with its growing customer base and shares jumped 8%.

• Nintendo’s stock jumped after the company confirmed future console will play current Switch games.

That’s all for today. Thank you for reading. If you have any feedback, please reply to this email.

Best Regards,

— Adam Garcia
Elite Trade Club

Click here to get our daily newsletter straight to your cell for free.

P.S. Just like this newsletter, it's 100% free*, and you can stop at any time by replying STOP.