Score contribution per author:
α: calibrated so average coauthorship-adjusted count equals average raw count
This study provides the first analytical evidence on the reaction of U.S. equity markets to Donald Trump’s victory in the 2024 Presidential election. Leveraging on a novel textual-based measure at the firm level, we uncover significant positive abnormal returns for firms aligned with Trump’s policy priorities. These firms are especially concentrated in the financial, energy, and industrial sectors. This positive equity market response is nonetheless accompanied by rising economic uncertainty, highlighting a potential disconnect between market exuberance and the macroeconomic outlook.