Today, the Dow Jones Average closed over 30,000. This is a new all-time high.
It can be argued that this is a positive reaction to the prospect of Joe Biden replacing Donald Trump. But that would be a little hard to believe, given that the Dow was at 18,332 on election day 2016, and was at 27,480 election day this year. It is hard to reconcile a 50% rise in the Dow with unhappiness toward the President.
It can also be argued that this is a positive reaction to significant Republican gains in the House of Representatives this year. That would be a lot easier to believe, given that election day 2018. when Democrats took control of the House, the Dow closed at 25, 461 – so it went up less only about 8% over the next two years.
But, then again, we have this jump of over 9% from 27,480 to 30,047 in the three weeks from election day to today. What about that?
Y’know, maybe there’s a little more to it than politics….