The stock market opened higher on Friday as the S&P 500 looked to cap off its best week since early November.
The market benchmark was up 1%, while the Dow Jones Industrial Average was up 300 points, or 0.7%. The Nasdaq Composite was up 1.6%.
The yield on the 10-year Treasury note was down to 4.59%, while the 30-year yield was down to 4.83%.
Friday marks the final trading day of the Biden administration. The S&P 500 has climbed 54.1% during President Joe Biden’s term. The stock market will be closed on Monday in observance of Martin Luther King Day. It will also be Inauguration Day for President Donald Trump.
Wolfe Research’s Chris Senyek points out that the Trump trade, which favors sectors that may benefit from policies like deregulation and tax cuts, has picked up in recent weeks. Senyek thinks positive catalysts from Trump policies include rising business and consumer confidence, tax cuts, and reregulation and potential government efficiency.
“We expect President Trump to be expeditiously focused on major deregulation across industries during his first 100 days,” he writes. “This should spur higher business confidence and spending. At the same time, there remains considerable uncertainty over tariffs (and deportations).”
