04:59 PM EST, 11/06/2024 (MT Newswires) -- US benchmark equity indexes closed at all-time highs Wednesday while Treasury yields surged after Donald Trump won the presidential election.

The Dow Jones Industrial Average jumped 3.6% to 43,729.9, and the Nasdaq Composite advanced 3% to 18,983.5. The S&P 500 rose 2.5% to 5,929. Among sectors, financials saw the biggest gain, up 6.2%, while real estate posted the steepest decline of 2.6%.

Trump, the Republican nominee, defeated Kamala Harris, vice president and the Democratic candidate, in Tuesday's vote. His return to the White House will have investors watching the impact of potential new tariffs, the labor market effects of immigration cuts and benefits to top technology firms, analysts said.

"US large-cap equities could benefit from a combination of deregulation and potentially additional tax cuts," Wells Fargo Investment Institute said. "Smaller, domestic-oriented companies should find an advantage from tariffs on imports."

The US 10-year yield surged 14.5 basis points to 4.43%, while the two-year rate gained 6.7 basis points to 4.27%.

The Federal Reserve kicked off its two-day monetary policy meeting. Markets widely expect policymakers to reduce interest rates by 25 basis points Thursday, according to the CME FedWatch tool.

"Following an outsized (50-basis-point) cut in September, the Fed is widely expected to continue along a path to easier money policy albeit at a reduced pace with a more tempered pace of (25-basis-point) this week," Stifel said in a Wednesday note to clients.

In company news, Tesla (TSLA) shares jumped nearly 15%, the top performer on the Nasdaq and among the best on the S&P 500, as presidential election results fueled bets that the electric vehicle maker stands to benefit from Trump's victory.

Shares of banking giants Goldman Sachs ( GS ) and JPMorgan Chase ( JPM ) jumped 13% and 12%, respectively, the top gainers on the Dow.

Super Micro Computer ( SMCI ) was the worst performer on the S&P 500 and the Nasdaq, down 18%. Late Tuesday, the artificial intelligence server maker provided interim financial information for its fiscal first quarter while saying that a committee looking into accounting firm Ernst & Young's concerns about governance found no evidence of fraud or misconduct.

International Flavors & Fragrances ( IFF ) shares slumped 12% Wednesday, among the steepest decliners on the S&P 500. Late Tuesday, the company reported third-quarter adjusted earnings that fell short of Wall Street's estimates.

West Texas Intermediate crude oil dropped 0.3% to $71.81 a barrel Wednesday. The incoming Trump administration could tighten US oil sanctions against Iran, analysts said.

Commercial crude stockpiles in the US posted a surprise build last week, government data showed.

In economic news, mortgage applications in the US declined for the sixth consecutive week as rates across 30-year fixed mortgage types increased, the Mortgage Bankers Association said.

Gold dropped 2.9% to $2,669.40 per troy ounce, while silver declined 4.5% to $31.29 per ounce.