The S&P 500 Index has traded higher and posted new all-time highs since the 2024 presidential election was won by Donald Trump.
Benzinga readers expect the momentum to continue, with the index nearing impressive election year milestones.
What Happened: The 2024 presidential election win by Donald Trump has created market optimism across the stock market and cryptocurrency sector.
While analysts and experts look for individual stocks and sectors that could benefit under four years with Trump beginning in January 2025, market indexes have soared to record levels.
The SPDR S&P 500 ETF Trust
By early morning on Nov. 6, media outlets had declared Trump the winner of the election, and the SPY opened at $589.20, up 2.2% from the previous day.
A recent poll of Benzinga readers shows that market optimism is expected since the Trump victory was declared.
"Will Trump's victory keep the stock market on a winning streak through 2024?" Benzinga asked.
The results were:
- Yes: 76%
- No: 24%
Why It's Important: Benzinga previously reported that presidential election years are often good for investors with 14 of the last 16, not including 2024, seeing the S&P 500 Index trade higher. The only two presidential election years of the last 16 to not have a positive return were the global financial crisis (2008) and the dot-com bubble (2000).
The SPDR S&P 500 ETF Trust is currently up 26.4% year-to-date in 2024. While that amount could go up or down, the return is currently among the highest in recent presidential election years.
If the 26.4% gain holds or comes in higher, 2024 would mark the best-performing presidential election year for the S&P 500 since 1980 (+32.4%), beating the current record holder, 1996, which saw the index up 23.1%.
The 2024 return of the S&P 500 could also come as one of the best in recent years. Here are the recent returns of the S&P 500 ETF Trust:
- 2023: +26.2%
- 2022: -18.2%
- 2021: +28.8%
- 2020: +18.4%
- 2019: +31.2%
- 2018: -4.6%
- 2017: +21.7%
- 2016: +12.0%
If the stock market continues to trade higher and hits record highs, there's a chance that the SPY passes those figures and could be the best performing year for the ETF in over 10 years, with 2013 being up 32.3%.