HONG KONG — The US stock market, Elon Musk’s Tesla, banks and Bitcoin rose on Wednesday as investors bet on what Donald Trump’s return to the White House would mean for the economy and the world. The market sees the following among the losers: Anyone worried about the value of the Mexican peso and possibly high inflation.

S.The &P 500 jumped 2.1% in early trading and was on track to hit an all-time high last month. The Dow Jones Industrial Average was up 1,292 points, or 3.1%, as of 9:35 a.m. Eastern time, while the Nasdaq composite was 2.1% higher.

The US stock market has historically tended to rise no matter which party wins the White House; Democrats have had larger average gains since 1945. But Republican control could mean big swings between winners and losers under the surface, and investors are adding to established bets. We’ve talked before about what the higher tariffs, lower tax rates, and lighter regulations Trump favors would mean.

“Markets are trying to understand what will happen next, but for now the market is pricing in the outlook for higher growth and higher inflation,” said Peter Esho of Esho Capital.

Of course, how much change Trump can create will likely depend on whether his fellow Republicans gain control of Congress, and that’s something that’s yet to be determined. This could leave room for reversals on some of Wednesday’s big spikes. Still, the market is split between pretty clear winners and losers in the wake of Trump’s dramatic victory. Between them:

BANK SHARES are on the rise

Bank stocks have led the market higher, partly on hopes that a stronger economy will mean more customers taking out loans and paying them back with interest. They also took action in hopes that the Republican White House would impose lighter regulation; This could encourage more mergers and acquisitions from which investment banks can earn fees. JPMorgan Chase rose 8.3% and financial shares in S rose 5.1%The &P 500 had by far the biggest gain among the index’s 11 sectors.

CRYPTO, up

Trump has promised to make the country the “crypto capital of the planet” and create a “strategic bitcoin reserve.” Bitcoin price has risen from its all-time high above $75,000 and recently rose 7% to nearly $74,000, according to Coindesk. Other cryptocurrencies also rallied, including dogecoin, a Musk favorite. Companies in the crypto industry jumped, including trading platform Coinbase’s 19.4% jump.

Tesla, up

Musk has become a close ally of Trump, promoting the former president’s candidacy. While Trump could hurt the electric vehicle industry overall by withdrawing government subsidies, analysts say Tesla could gain some advantage from already being such a big player in the industry. Tesla rose 15.1%, while rival Rivian Automotive fell 7.3%

TREASURY BONDS PRICES are in decline

Investors think Trump’s policies will potentially lead to stronger economic growth, which will help push down prices and boost Treasury yields. The yield on the 10-year Treasury note rose to 4.47% from 4.29% late Tuesday; This is a significant move for the bond market. It is up significantly from August, when it was below 4%.

INFLATION CONCERNS up

Investors also think Trump’s policies will contribute to future inflation, which will likewise push Treasury yields higher.

“Trump continues to publicly tell people that he will increase tariffs on all trading partners, not just China,” said Andrzej Skiba, Head of U.S. Fixed Income at RBC Global Asset Management BlueBay. “We’re talking about 10 percent tariffs on all our global partners. This is a big deal because that could add 1 percent to inflation. If you add 1 percent to next year’s inflation numbers, we have to say goodbye to interest rate cuts.”

Much of Wall Street’s record run this year was based on expectations that the Fed would cut interest rates as inflation eases toward its 2% target. According to CME Group data, the Fed will announce its final decision on interest rates on Thursday. According to CME Group’s data, an interest rate cut is still expected.

But traders are already lowering their expectations for how much the Fed will cut by the middle of next year.

FOREIGN EXCHANGE VALUES decreased against the Dollar

Trump talked about increasing tariffs; That likely means Trump has vowed to sharply raise tariffs on imports from China, Mexico and other countries, darkening the outlook for Chinese exporters at a time when Beijing is heavily reliant on boosting production. Revitalize its slowing economy. The value of the Mexican peso fell another 2.3 percent against the dollar.

RENEWABLE ENERGY STOCKS are in decline

Trump is a fan of fossil fuels, which encourage oil and gas production. His win caused solar stocks to fall sharply, including First Solar’s 15.1% decline.