Market Insider

Market set to close out month, upended by Trump trade

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., November 7, 2016.
Brendan McDermid | Reuters

With the Trump rally entering its fourth week, markets close the books Wednesday on November, a month of surprise that forced many investors to rapidly shift their views of both stocks and bonds.

Stock futures were higher Wednesday morning and oil was gushing, up 7 percent, as Saudi Arabian oil minister Khalid Al-Falih expressed optimism for a production deal.

The Dow is up more than 5 percent so far for November, in its second best monthly performance of the year and its second best November since 2009. Both the S&P 500, up 3.7 percent for November, and the Dow are on track for their best month since March. The small-cap Russell 2000, lower for a second day Tuesday, has gained 11 percent since Election Day.

Donald Trump's victory in the presidential election has flipped stock market expectations, igniting a giant sector rotation that pushed investors into small caps and industrial sectors that would benefit from infrastructure spending. Banks have also gained on the prospect that the programs could spark more growth, resulting in inflation and higher interest rates.