Biden's presidency is significantly influencing the stock market. Biden is a centrist. However, he wants to "Build Back Better," emphasizing renewable energy and modern infrastructure. There is a growing interest in stocks of the companies operating in the construction and infrastructure fields.
Topping the list of popular stocks is Martin Marietta Materials, with a market value of $18.9 billion and a dividend yield of 0.8%. The company specializes in the materials for large construction projects, making crushed sand and gravel products, concrete, and asphalt.
Biden's victory may significantly boost infrastructure spending since his plan includes mobilizing and building a modern American infrastructure. MLM could be one of the best stocks to buy at the moment.
Then comes Caterpillar, with a market value of $105.7 billion and a dividend yield of 2.1%. It is the world's leading construction and mining equipment builder targeted for major construction projects.
The company has a global presence and will likely benefit from the recovery of the emerging markets. Caterpillar has already recovered losses and broke out a three-year trading range.
Joe Biden's presidency could explain the shift in the market. He is the 46th President of the U.S. Biden is fairly ambitious with his plans. He has announced a $2 trillion COVID-19 relief bill and stimulus checks of $1,400 for most Americans. Considering democrats control both branches of Congress and the White House, Biden should not face many challenges executing his strategic action plan.
The President of economic research firm HS Dent Publishing, Rodney Johnson, stated that the Biden administration would increase regulatory scrutiny for financial and energy stocks. He argued that taxes across the board might also become higher.
Brief Summary on Stocks:
1. Martin Marietta Materials (MLM, $303.58)
- Market value: $18.9 billion
- Dividend yield: 0.8%
2. Caterpillar (CAT, $194.62)
- Market value:$105.7 billion
- Dividend yield:1%