Voters lined up at polls across the nation for Election Day, investors traded stocks higher and CNBC’s Jim Cramer was left surprised about the returns made on the session Tuesday.
“[Many worried] the election [would] freak people out, but the opposite happened,” the “Mad Money” host said. “We ended up with a bizarrely bullish session where both the Biden stocks and the Trump stocks rallied.”
Stocks have headed higher for two consecutive days after Wall Street saw its worst week of trading since March, when the longest bull market in recorded history plunged into its fastest bear market in recent memory. Last week’s turbulent trading brought the major averages down for the second straight month.
The Dow ended Tuesday’s session at 26,925.05, up about 423 points, or 0.6%, from Monday. The S&P 500 made the highest gains, moving 1.2% to 3,310.24. The Nasdaq Composite moved 0.4% higher to 10,957.61.
Just about 50 of the 500 large-cap components on the S&P 500 slipped during the session, while Arista Networks, Apartment Investment and Management and Gartner were the biggest gainers on the day, rising double digits at the close.
UnitedHealth Group, Goldman Sachs and Home Depot were the biggest point gainers on the 30-stock Dow, a price-weighted index. Amgen, Johnson & Johnson and Chevron were the only three Dow components to fall, according to FactSet.
While considering numerous reasons the market marched higher on Election Day, Cramer said the “oddest reason” for the run is that “there simply aren’t many Trump stocks,” or stocks that would surely go higher if President Donald Trump is reelected to the White House over former Vice President Joe Biden.
The only stock the host says he sees taking a big hit if Trump loses the election is the American steelmaker Nucor, which has benefited from Trump’s tariff spat with China.
“I know everybody’s worked up about this election, but today the stock market said, ‘Don’t worry, be happy.’ Whether it’s Trump or Biden, your portfolio’s going to be alright,” Cramer said. “And if we get clobbered by some electoral delay or any other reason, I’m telling you right now I want you to be prepared to do some buying.”
Disclosure: Cramer’s charitable trust owns shares of Goldman Sachs.