The stock market reached new heights this Friday, capping off its strongest week in a year following Donald Trump’s recent election victory. The Dow Jones Industrial Average rose 260 points (0.6%), crossing the 44,000 mark for the first time, while the S&P 500 climbed 0.4%, surpassing the 6,000 level. Despite a relatively flat day, the Nasdaq Composite achieved an intraday record, marking a robust week across all three major indexes. The S&P 500 and Dow gained approximately 4.7% each, their best performance since November 2023. The Nasdaq outperformed with a 5.7% advance, and the Russell 2000 led with a weekly gain of over 8%.

The rally was driven by investor optimism about Trump’s anticipated pro-growth policies, which could lead to deregulation and potential tax cuts. Small-cap stocks, which are expected to benefit from Trump’s protectionist approach, attracted significant inflows. The S&P 500’s milestone at 6,000 has added to positive market sentiment, drawing in sidelined funds from money markets and bonds. This surge was also supported by the Federal Reserve’s recent decision to cut interest rates by a quarter-point, reinforcing confidence in sustained economic growth as the year closes.