The ASX 200 is surging as FBI clears Clinton

Westpac Banking Corp (ASX:WBC) has rocketed almost 3% today.

a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has rocketed higher today, defying early expectations that shares around Australia would dive again.

Much like equity markets around the world, the local share market has been the subject of plenty of volatility recently. That volatility largely relates to a late surge in Donald Trump's chances of becoming the next president of the United States of America, with the winner to be decided on Wednesday, Sydney time.

Most pundits wrote Trump off after his lewd comments bragging about sexually assaulting women. In yet another 2016 election twist, however, the perceived probability of a Trump victory began to rise again after the FBI confirmed it had reopened the case involving Hillary Clinton's private email server. That sent markets around the world into a tailspin, while gold prices soared.

However, just 48 hours before the election day, FBI Director James Comey has again confirmed it would not press charges against Clinton. It's impossible to know how much damage Comey caused by reopening the investigation in the first place, but investors are certainly feeling more confident of a Clinton win.

The ASX 200 has soared 1.2% so far to trade 63 points higher this afternoon. It's once again trading at 5244 points, which is still well below its recent levels of around 5450 points.

Westpac Banking Corp (ASX: WBC) has mostly led the charge, soaring 2.8% after it released its full-year results this morning. Commonwealth Bank of Australia (ASX: CBA) is up 2.2% as well, while National Australia Bank Ltd. (ASX: NAB) has surged 1.5%.

Mining heavyweight BHP Billiton Limited (ASX: BHP) has gained 1.9% as well to trade at $22.70, with Telstra Corporation Ltd (ASX: TLS) rising 0.6%.

It would be unwise to completely write Trump off just yet. In June, investors around the world were shocked when Britain decided to exit the European Union (Brexit) and a Trump outcome is still a possibility this week.

Still, investors seem more willing to bet against that happening today, with the potential for further gains over the coming days as well.

Motley Fool contributor Ryan Newman has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »